Biomass Programme

Scheme to Support Manufacturing of Briquettes & Pellets and Promotion of Biomass (non-bagasse) based cogeneration in Industries

Objective

The objective of the Biomass Programme is to support setting up of Biomass Briquette/Pellet manufacturing plants and to support Biomass (non-bagasse) based cogeneration projects in Industries in the country.

Period

FY 2021-22 upto FY 2025-26

Salient Features

• The programme provides Central Financial Assistance (CFA) to project developers and service charges to implementing agency and inspection agencies in respect of setting up of Briquette / Pellet manufacturing plants and Biomass (non- bagasse) cogeneration projects in industries.
• Financial assistance available under the programme is as follows:
  1. Briquette/ Pellet Manufacturing plants: Rs. 9 Lakh per MTPH (metric ton/hour) manufacturing capacity (maximum CFA of Rs 45 Lakhs per plant)
  2. Biomass (Non-bagasse ) cogeneration projects: Rs. 40 Lakhs/MW (on Installed Capacity) (maximum CFA of Rs. 5 Crores per project)
• Applications to be accepted through online portal only.
• Under this programme, self-funded projects will also be eligible for Central Financial Assistance.
• SCADA System/remote monitoring system has been mandated for Biomass projects.
• Plants installed with new equipment/machinery only shall be eligible for CFA under this programme.
• The performance inspection agencies for Biomass projects are:
  1. For Briquette/Pellet Manufacturing Plants:
     1. Concerned State Nodal Agencies for Renewable Energy (SNAs); or
     2. Sardar Swaran Singh National Institute of Bio-Energy (SSS-NIBE)
  2. For Biomass (non-bagasse) cogeneration projects: Concerned State Nodal Agency (SNA) and Sardar Swaran Singh National Institute of BioEnergy (SSS-NIBE).

How to avail the financial assistance

• The proposal for grant of “In-Principle” approval of CFA will be accepted through BioURJA Portal (https://biourja.mnre.gov.in) before commissioning of the Biomass plant.
• For projects with debt/loans from FIs/Banks, the Ministry shall issue an “In-Principle” approval with the concurrence of IFD and approval of Secretary, MNRE.
• For projects without debt/loan or projects the Implementation Agency shall examine and put up the applications to Project Appraisal Committee (PAC) following which the Ministry shall issue an “In-Principle” approval with the concurrence of IFD and approval of Secretary, MNRE.
• The time period for commissioning is 12 months for Briquette / Pellet Manufacturing plants and 24 months for Biomass (non-bagasse) cogeneration plants from the date of “In-Principle” approval.

Whom to contact

(Sh. Vikram Dhaka, Biomass Division)
Email: vikram.mnre@gov.in

Relevant Documents

• Revision of Rate of Central Financial Assistance (CFA) for Biomass Pellet manufacturing units under Biomass Programme component of “National Bioenergy Programme”(NBP – reg.) (834 kb, PDF)

• Administrative approval for implementation of Biomass Programme under the Umbrella scheme of National Bioenergy Programme for duration of FY 2021-22 to 2025-26 (Phase-I) (3 mb, PDF)