About the Programmes
The objective of the programme is to support setting up of Waste to Energy projects for generation of Biogas/ BioCNG/ Power/ producer or syngas from urban, industrial and agricultural wastes/residues. The validity of the programme is from 01.04.2021 to 31.03.2026. The programme provides Central Financial Assistance (CFA) to project developers and service charges to implementing/inspection agencies in respect of successful commissioning of Waste to Energy plants for generation of Biogas, Bio-CNG/enriched Biogas/Compressed Biogas, Power/ generation of producer or syngas.
The objective of the programme is to support setting up of Biomass Briquette/Pellet manufacturing plants and to support Biomass (non-bagasse) based cogeneration projects in the country. The validity of the programme is from 01.04.2021 to 31.03.2026. The programme provides Central Financial Assistance (CFA) to project developers and service charges to implementing/inspection agencies in respect of setting up of Briquette/ Pellet manufacturing plants and Biomass (non- bagasse) cogeneration projects in industries
- Scheme to Support Promotion of Manufacturing of Briquettes & Pellets and Biomass (Non-Bagasse) Based Cogeneration in Industries in the Country
- Revision of Rate of Central Financial Assistance (CFA) for Biomass Pellet manufacturing units under Biomass Programme component of "National Bioenergy Programme" (NBP)
Energy from Urban, Industrial, Agricultural Wastes/Residues and Municipal Solid Waste
The Ministry of New and Renewable Energy, Government of India, launched the programme “Energy from Urban, Industrial, Agricultural Wastes/Residues and Municipal Solid Waste” with the following objectives:
- To promote setting up of projects for recovery of energy in the form of Biogas / BioCNG / Power from Urban, Industrial and Agricultural Waste and Captive Power and Thermal use through Gasification in Industries.
- To promote setting up of projects for recovery of energy from Municipal Solid Waste (MSW) for feeding power into the grid and for meeting captive power, thermal and vehicular fuel requirements.
- To promote Biomass Gasifier for feeding power into the grid or meeting captive power and thermal needs of rice mills/other industries and villages.
- To create conducive conditions and environment, with fiscal and financial regime, to develop, demonstrate and disseminate utilization of wastes and residues for recovery of energy.
The programme offers Central Financial Assistance (CFA) in the form of capital subsidy and Grants-in-Aid in respect of the following activities:
- Installation of plants of Biogas production from Industrial Waste, Sewage Treatment Plants, Urban & Agricultural Waste/ Residue through Biomethanation
- Installation of plants of Power generation or production of BioCNG/enriched Biogas from Biogas produced from Industrial Waste, Sewage Treatment Plants, Urban & Agricultural Waste/ Residue.
- Installation of Biomass Gasifier for feeding power into the grid or meeting captive power and thermal needs of rice mills/other industries and villages.
- Installation of Plants of recovery of energy/power from Municipal Solid Waste.
Eligibility Criteria
Criteria based on type of waste
- Urban, Industrial and Agricultural Wastes/Residues: The Projects based on Biomethanation of any Biodegradable Waste like Urban waste (Vegetable & fruit market/kitchen, Slaughter house, Sewage including livestock wastes like cattle dung, Poultry waste etc.), Agricultural Waste (paddy straw, agro processing industries residues/ effluents, green grass etc.), Industrial Waste/Effluents (Agro processing industry, Paper & Pulp Industry, Milk processing, Sugar Industry etc.
- Municipal Solid Waste (MSW): Power generation Projects based on Incineration/Gasification/Pyrolysis or a combination thereof or any new technology as approved by MNRE
- Biomass Gasifier: Projects using Biomass/Agro-residues for feeding power into the grid or meeting captive power and thermal needs of rice mills/other industries and villages
Criteria based on technologies
Projects based on waste-to-energy conversion technologies, namely, Biomethanation, combustion, gasification, pyrolysis or a combination there of or any new technology as approved by MNRE
Criteria based on capacity
There will be no maximum limit on capacity of Waste to Energy projects supported under this Programme. Whereas Biogas plants based on Agro-based Industrial Residues of upto 250 kW capacity for power generation and upto 2500 m3 capacity shall not be eligible under this Programme. Biomass Gasifier projects of any capacity shall be eligible for CFA under this programme.
Loan
Waste to Energy (WTE) projects
- To avail financial support, the applicant must have availed term loan from any Bank/financial institution. One time back ended Central financial assistance for Waste to Energy projects through banks/FIs will be provided for offsetting loan amount. Loan may be taken from any Indian Bank (commercial and co-operatives)/Financial Institution or International Bank/Financial Institution.
- Minimum amount of loan- Loan amount should be equal or greater than eligible central financial assistance available under this Guideline.
- In case of local body, PSU or Government, Semi-Government organization/agency with or without Joint Venture with national/international organization is setting up waste to energy plant from its own resources, loan will not be mandatory.
Biomass Gasifier
Requirement of Loan is not mandatory for Biomass Gasifier projects.
Expansion of Projects
Projects which intend to add capacity to the existing plants (Waste to Energy or Biomass Gasifier) shall also be considered for grant of CFA. CFA for such projects will be considered only for the enhanced capacity. Applications received for expansionary projects will be cleared as per guidelines existing at the time of submission of applications.
Central Financial Assistance (CFA)
Based on the type of output from the plant, the CFA offered under this programme is as follows:
| Output | Subsidy | Description |
|---|---|---|
| Biogas | Rs. 1.0 crore per 12000m3 Biogas /day. (Maximum CFA- Rs.10 crore/project)) | Generation of Biogas from biomethanation of Urban waste including segregated MSW/ Agricultural Waste/ Industrial wastes/ Effluents or mix of these wastes. (Distillery effluent is excluded) |
| Power (based on Biogas) | a. Gas engine/turbine route: Rs 3.0 crore / MW. (Maximum CFA- Rs.10 crore/project) | It will have two components- i. Generation of Biogas from Biomethanation of Urban waste including segregated MSW / Agricultural Waste/ Industrial wastes/Effluents or mix of these wastes; and ii. Power generation (through engine/ turbine route) from Biogas generated. In case, developer wants to set up power generating unit at already existing Biogas plant or at distillery effluent based Biogas plant, the applicable CFA will be only Rs 2.0 crore per MW |
| b. Boiler+Steam turbine route: Rs 1. 5 crore / MW. (Maximum CFA- Rs.10 crore/project) | It will have two components- i. Generation of Biogas from Biomethanation of Urban waste including segregated MSW / Agricultural Waste/ Industrial wastes/Effluents or mix of these wastes; and ii. Power generation (through Boiler+Steam turbine route) from Biogas generated. In case, developer wants to set up power generating unit at already existing Biogas plant or at distillery effluent based Biogas plant, the applicable CFA will be only Rs 0.50 Crore/MW. |
|
| Power (based on MSW/ RDF) | Rs 5.0 crore / MW (Maximum CFA- Rs.50 crore/project) | Power generation from Municipal Solid Waste/Refused derived fuel through Incineration or other approved thermal technologies. Minimum size of the plant of 5 MW of installed capacity shall be supported. |
| Power (based on BTG route) | Rs. 0.50 crore / MW (Maximum CFA- Rs.10 Crore/Project) | Power generation (through boiler & steam turbine route) from the wastes/residues of renewable nature other than MSW. |
| Bio-CNG/ Enriched Biogas/ Compressed Bio Gas | Rs 4.0 crore. Per 4800 kgs of BioCNG/day generated from 12000m3 Biogas /day (MWeq). (Maximum CFA- Rs.10 crore/project) | It will have two components- i. Generation of Biogas from Biomethanation of Urban waste including segregated MSW / Agricultural Waste/ Industrial wastes/Effluents or mix of these wastes; and ii. BioCNG/Enriched Biogas production from Biogas generated. In case developer wants to set up BioCNG/ Enriched Biogas generating unit at already existing Biogas plant or at distillery effluent based Biogas plant, applicable CFA will be Rs 3.0 crore/MWeq. |
| Biomass Gasifier | Electrical Rs.2,500 per KWe with dual fuel engines | Biomass Gasifier for captive power applications in industries & other institutions |
| Electrical Rs. 15,000 per kWe with 100% gas engines | Distributed / off-grid power for villages and upto 2MW Grid connected power projects using Biomass Gasifier systems with 100% producer gas engines | |
| Electrical Rs.10,000 per kWe for 100% producer gas engines with Gasifier system. | Biomass Gasifier with 100% producer gas engines for captive power applications in industries & other institutions | |
| Electrical Rs. 8000 per kWe for 100% producer gas engine alone | Installation of 100% producer gas engine only at already existing Gasifier for captive power applications in industries & other institutions | |
| Thermal Rs.2.0 lakh / 300 KWth for thermal applications. | Biomass Gasifier for captive thermal applications in industries & other institutions |
For more information about the programme click here
Promotion of Biomass-based Cogeneration in Sugar Mills and Other Industries in the Country
With an objective to promote biomass- based cogeneration in sugar mills and other industries for power generation in the country, the Ministry of New and Renewable Energy, Government of India, launched the programme “Promotion of Biomass-based Cogeneration in Sugar Mills and Other Industries in the Country”.
The programme offers Central Financial Assistance (CFA) for projects utilizing biomass like bagasse, agro-based industrial residue, crop residues, wood produced through energy plantations, weeds, wood waste produced in industrial operations, etc.
The details about the programme are as follows:
| Who is eligible? | Registered companies, partnership firms, proprietorship firms, cooperatives, public sector companies & government owned firms. To avail financial support the applicant must have availed term loan from any financial institution like Public Sector Banks, NBFC, Private Sector Banks, Central or State Cooperative Banks etc. |
| What is the Central Financial Assistance (CFA) offered? | CFA at the rate of Rs. 25 Lakh/MW is offered for bagasse cogeneration projects and Rs.50 Lakh/MW for Non-bagasse cogeneration projects |
For more information about the programme click here