With a view to remove barriers related to technology, size and sustainability in case of biomass power generation, the Ministry of New and Renewable Energy has invited Expression of Interest from state government organizations and agencies, independent power producers, project promoters and other investors for setting up grid interactive power generation projects of minimum 1 MW capacity based on biomass gasification technology.
The Model Investment Projects, to be established in different parts of the country, are not only expected to help in standardizing the technology package in the specified capacity range but also generate data for developing benchmark norms with regard to capital expenditure, operations and maintenance and Plant Load Factor.
The MNRE is currently engaged in the implementation of a United Nations Development Program/ Global Environment Facility assisted project on “Removal of Barriers to Biomass Power Generation in India”. The project aims to accelerate adoption of environmentally sustainable biomass power technologies by removing the various barriers and lay foundation for large scale commercialization of biomass power through increased access to financing.
The invitation for EoI by MNRE specifies that the MIPs, based on biomass gasification technology, should be of minimum 1 MW capacity and use 100 percent producer gas engines for generation of grid interactive power. It further mentions that proposals of higher capacity could be considered taking in to account innovative technology configuration, power utilization pattern and economies of scale.
In terms of financial support to the MIPs, the MNRE will provide Rs. 150 lakh per MW for grid connected power projects with 100 percent producer gas engine of atleast 500 KW each and Rs. 30 lakh per MW to create infrastructure for fuel supply linkages, evacuation of power, biomass drying and utilization of char. Partial financial support equivalent to 50 percent of the cost of plant and machinery and subject to a maximum of Rs. 20 lakh will be given towards installation of Vapor Absorption Machine for cooling/chilling and steam generating system.
The financial support from MNRE is subject to certain terms and conditions.