20-Dec-2022: Ministry of New and Renewable Energy initiates National Bio Energy Programme to utilize surplus biomass for power generation

The Ministry of New and Renewable Energy (MNRE) has notified the National Bioenergy Programme on 2nd November, 2022. The programme has been recommended for implementation in two phases with a total budget outlay of Rs 1715 Crore and a budget outlay of Rs 858 Crore has been allocated for the Phase-1. This programme has a provision of Central Financial Assistance (CFA) for various components related to Power generation, Biogas/BioCNG generation and Briquette/Pellet manufacturing, wherein Biomass is one of the major feedstock material, which primarily shall be sourced from rural areas. The National Bioenergy Programme shall not only promote the utilization of surplus biomass but also provide an additional source of income for rural households.

Salient features and implementation mechanism of the National Bio Energy Programme:

The National Bioenergy Energy Programme supports setting up of Bioenergy projects in the country under the following components:

  1. Waste to Energy Programme
  2. Biomass Programme
  3. Biogas programme

Waste to Energy Programme: The objective of this 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 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. The details of CFA for different components under this programme are as follows:

  1. for Biogas generation: Rs 0.25 crore per 12000 cum/day (Maximum CFA- Rs.5.00 crore/project)
  2. for BioCNG/Enriched Biogas/Compressed Biogas generation: (Maximum CFA- Rs.10 crore/project)
    1. BioCNG generation from new Biogas plant- Rs 4.0 Crore per 4800 Kg/day;
    2. BioCNG generation from existing Biogas plant- Rs 3.0 Crore per 4800 Kg/day;
  3. for Power generation based on Biogas (Maximum CFA- Rs. 5.00 crore/project):-
    1. Power generation from new biogas plant : Rs 0.75 Crore per MW
    2. Power generation from existing biogas plant: Rs 0.5 crore / MW
  4. for Power generation based on bio & agro-industrial waste (other than MSW through incineration process):- Rs. 0.40 crore/MW (Maximum CFA - Rs.5.00 Crore/Project)
  5. for Biomass Gasifier for electricity/ thermal applications:
    1. Rs. 2,500 per kWe with duel fuel engines for electrical application
    2. Rs. 15,000 per kWe with 100% gas engines for electrical application
    3. Rs. 2 lakh per 300 kWth for thermal applications.

Note: The eligible CFA would be 20% higher than Standard CFA pattern for (a) all plants in Special Category States (NE Region, Sikkim, Himachal Pradesh and Uttarakhand), Jammu & Kashmir, Ladakh, Lakshadweep and Andaman & Nicobar Islands, and (b) Biogas/BioCNG/Power (biogas based) generation plants based on cattle dung as main feedstock set up by Gaushalas registered with respective State Government.

Biomass Programme: The objective of this programme is to support setting up of Biomass Briquette/Pellet manufacturing plants and Biomass (non-bagasse) based cogeneration projects in the country. This programme provides Central Financial Assistance (CFA) to project developers and service charges to implementing/inspection agencies for setting up of Biomass projects. The details of CFA for different components under this programme are as follows:

  1. for Briquette/Pellet manufacturing plants: Rs. 9.00 Lakhs/ TPH (Maximum CFA- Rs. 45.00 Lakh per project).
  2. for Non-Bagasse Cogeneration Projects: Rs. 40 Lakhs/ MW (Maximum CFA- Rs. 5.00 Crore per project).

Biogas Programme: The objective of this programme is to support setting up of biogas plants for clean cooking fuel, lighting, meeting thermal and small power needs of users which ultimately results in GHG reduction, improved sanitation, women empowerment and creation of rural employment. The details of Central Financial Assistance (CFA) for different components under this programme are as follows:

  1. for small biogas plants (1-25 cubic meter/day plant capacity): Rs. 9800/- to Rs. 70,400/- per plant based on size of the plant in cubic meter;
  2. for Power generation and thermal application (25 - 2500 cubic meter/day plant capacity): Rs. 35,000/- to Rs. 45,000/- per kilowatt for power generation and Rs. 17,500/- to Rs. 22,500/- per kilowatt equivalent for thermal applications (The eligible CFA would be 20% higher than Standard CFA for NER, Island, Registered Gaushalas and SC/ST beneficiaries).

8-Dec-2022: Electricity from solid waste

The Ministry of New and Renewable Energy is implementing Waste to Energy (WTE) Programme under the umbrella of National Bioenergy Programme. The WTE Programme has a budget outlay of Rs 600 crore for the period FY 2021-22 to FY 2025-26. This Programme aims to support setting up of Waste to Energy plants for generation of Biogas, BioCNG and electricity from urban, industrial and agricultural waste by providing central financial assistance (CFA) (However, new MSW to Power projects are not supported under the Programme). Such projects are set up in various States/UTs by project developers and interested developers seek CFA under the Programme.

Further, Ministry of Petroleum and Natural Gas, under the Sustainable Alternative Towards Affordable Transportation (SATAT) initiative envisages setting up of 5000 BioCNG plants by 2023-24 with production target of 15 MMT of BioCNG from urban, industrial and agricultural waste including municipal solid waste.

SATAT initiative encourages entrepreneurs to set up BioCNG plants, produce & supply BioCNG to Oil Marketing Companies (OMCs) for sale as automotive fuels. As on 31st Oct, 2022, total 3694 LoIs have been issued by OMCs for BioCNG capacity addition of 23868 Tons per day.

18-Nov-2022: Ministry of New and Renewable Energy organizes seminar on “National Bio Energy Programme”

Ministry of New and Renewable Energy organized a seminar on the “National Bio Energy Programme”, today in New Delhi in partnership with UNIDO and GEF, as part of ‘Azadi Ka Amrit Mahotsav’ (AKAM).  During the inaugural session, Shri R.K Singh, Union Minister of Power and New & Renewable Energy unveiled the compendium of the National Bio Energy Programme and launched the Biourja and Biogas portals. In his inaugural address, Shri R.K Singh enumerated the importance of Bioenergy for providing clean cooking through biogas, co-firing in thermal power plants by utilizing biomass pellets and briquettes and BioCNG for transport. He emphasized that the benefits of utilization of surplus biomass should reach the rural household by way of an additional source of income for farmers.

Shri Bhupinder Singh Bhalla, Secretary MNRE stressed the need for Bioenergy promotion not only because of its energy potential but also the large socio-economic benefits associated with it. Secretary DDWS described waste as a source of wealth and emphasized the concept of ‘kachre-se-kanchan’.

During the seminar, salient features of the National Bioenergy Programme and its implementation mechanism were discussed. Issues related to the financing of Bioenergy projects, the resource potential of biomass and waste in India along with the socio-economic benefits of the Bioenergy sector were dwelled upon. The seminar saw representation from the Industry, Project Developers, State Implementing Agencies Financial Institutions and officials of various stakeholder Ministries of the Government of India.

Background: The Ministry of New and Renewable Energy (MNRE), Government of India has notified the National Bioenergy Programme on November 2, 2022. MNRE has continued the National Bioenergy Programme for the period from FY 2021-22 to 2025-26. The Programme has been recommended for implementation in two Phases. The Phase-I of the Programme has been approved with a budget outlay of Rs. 858 crores.

The National Bioenergy Programme will comprise the following sub-schemes:

  1. Waste to Energy Programme (Programme on Energy from Urban, Industrial and Agricultural Wastes /Residues) to support the setting up of large Biogas, BioCNG and Power plants (excluding MSW to Power projects).
  2. Biomass Programme (Scheme to Support Manufacturing of Briquettes & Pellets and Promotion of Biomass (non-bagasse) based cogeneration in Industries) to support setting up of pellets and briquettes for use in power generation and non-bagasse based power generation projects.
  3. Biogas Programme to support setting up of family and medium size Biogas in rural areas.

Programme guidelines are available at https://mnre.gov.in/.

To utilize huge surplus biomass, cattle dung, and industrial and urban biowaste available in the country for recovery of energy, the MNRE has been promoting bioenergy in India since the 1980s. One major support extended by MNRE has been Central Financial Assistance provided for setting up of Bioenergy projects such as Biogas, BioCNG, and Power from urban, Industrial and Agricultural Waste / Residues for reducing their capital cost/ interest on loans, therefore, increasing project viability.

7-Nov-2022: MNRE notifies National Bio Energy Programme

The Ministry of New and Renewable Energy (MNRE), Government of India has notified the National Bioenergy Programme on November 2, 2022. MNRE has continued the National Bioenergy Programme for the period from FY 2021-22 to 2025-26. The Programme has been recommended for implementation in two Phases. The Phase-I of the Programme has been approved with a budget outlay of Rs. 858 crore.

The National Bioenergy Programme will comprises of the following sub-schemes:

  1. Waste to Energy Programme (Programme on Energy from Urban, Industrial and Agricultural Wastes /Residues) to support setting up of large Biogas, BioCNG and Power plants (excluding MSW to Power projects).
  2. Biomass Programme (Scheme to Support Manufacturing of Briquettes & Pellets and Promotion of Biomass (non-bagasse) based cogeneration in Industries) to support setting up of pellets and briquettes for use in power generation and non-bagasse based power generation projects.
  3. Biogas Programme to support setting up of family and medium size Biogas in rural areas.

Programme guidelines are available on https://mnre.gov.in/ .

To utilize huge surplus biomass, cattle dung, industrial and urban biowaste available in the country for recovery of energy, the MNRE has been promoting bioenergy in India since 1980s.  One major support extended by MNRE has been Central Financial Assistance provided for setting up of Bioenergy projects such as Biogas, BioCNG, Power from urban, Industrial and Agricultural Waste / Residues for reducing their capital cost/ interest on loan therefore increase project viability.

15-Dec-2022: Establishment of Bio-CNG plants

The Government has taken various steps to promote and encourage the establishment of new Bio-CNG plants across the country, including rural areas, inter alia, comprising of:

  1. The Ministry of New and Renewable Energy is implementing Waste to Energy (WTE) Programme under the umbrella of National Bioenergy Programme. The WTE Programme has a budget outlay of Rs 600 crore for the period FY 2021-22 to FY 2025-26. This Programme, inter alia, supports setting up of plants for generation of BioCNG from urban, industrial and agricultural waste by providing central financial assistance (CFA).
  2. The Ministry of Petroleum and Natural Gas, under the Sustainable Alternative Towards Affordable Transportation (SATAT) initiative envisages setting up of 5000 BioCNG plants with production target of 15 MMT of BioCNG by 2023-24. SATAT initiative encourages entrepreneurs to set up BioCNG plants, produce & supply BioCNG to Oil Marketing Companies (OMCs) for sale as automotive fuels.
  3. Department of Drinking Water and Sanitation (DDWS) launched Galvanizing Organic Bio-Agro Resources Dhan (GOBAR-DHAN) scheme in 2018. Gobardhan is an integral part of Swachh Bharat Mission Phase II under Solid Waste Management. The operational guidelines of Phase-II of SBM(G) provide for financial assistance up to Rs.50.00 lakh per district for the period of 2020-21 to 2024-25 for setting up of cluster/community level biogas plants.
  4. Concession is available on custom duty for import of machinery and components required for initial setting up of projects for generation of Power and Bio-CNG from non-conventional materials.
  5. BioCNG/Compressed Bio-Gas has been included under Priority Sector Lending.
  6. Eight Biogas Development and Training Centers (BDTCs) have been established at India’s premier Institutions to provide Technical Assistance, R & D, Testing and Validation of New Biogas Models / Designs, field inspections of biogas plants, and training and skill development.
  7. Ministry of Road Transport and Highways amended the Central Motor Vehicles Rules, 1989 in June 2015 and included the provisions for usage in motor vehicles Bio-CNG produced from waste (including MSW).
  8. National Policy on Biofuels-2018 promotes the production of Bio-CNG and other biofuels.
  9. Ministry of New and Renewable Energy’s autonomous institute National Institute of Bio Energy (NIBE), Kapurthala is providing capacity building through M. Tech program on Renewable Energy in joint collaboration with NIT Jalandhar. The institute has also signed MOUs with CSIR-CMERI, Junagarh Agriculture University, Indian Biogas Association and other prominent institutes for research in biogas, solid waste management and other bioenergy aspects.
  10. NIBE is also collaborating with US Energy labs, Pacific Northwest National Laboratory and Lawrence Berkeley National Laboratory, for research work in bioenergy sector.

15-Dec-2022: Rural Electrification Schemes

Government of India had launched Deen Dayal Upadhyaya Gram Jyoti Yojana (DDUGJY) in December 2014 for the rural areas with the objectives of electrification of all un-electrified villages as per Census 2011; Strengthening and augmentation of sub-transmission & distribution infrastructure in rural areas, including construction of HT and LT lines, metering at distribution transformers, feeders and consumers; and feeder segregation. Similarly, Pradhan Mantri Sahaj Bijli Har Ghar Yojana – Saubhagya was launched in October, 2017 for electrification of rural and urban poor households in the country.

SAUBHAGYA was launched with the objective to achieve universal household electrification by providing electricity connections to all un-electrified households in rural areas and all poor households in urban areas of the country. Under the aegis of SAUBHAGYA, as on 31.03.2019, all households were reported electrified by the States, except 18,734 households in Left Wing Extremists (LWE) affected areas of Chhattisgarh. Subsequently, seven States namely Assam, Chhattisgarh, Jharkhand, Karnataka, Manipur, Rajasthan and Uttar Pradesh reported that 19.09 lakh un-electrified households in their State identified before 31.03.2019, which were unwilling earlier but later expressed willingness to get electricity connections needed to be electrified. The electrification of these households was sanctioned under SAUBHAGYA. All these seven States reported 100% households’ electrification as on 31.03.2021. A total of 2.817 crore households were electrified since the launch of SAUBHAGYA, up to 31.03.2021. Thereafter, some States again reported that 11.84 lakh households remain to be electrified.  Electrification of these households was again sanctioned till date, a total 2.86 crore households have been electrified.

13-Dec-2022: Villages electrified under Deendayal Upadhyaya Gram Jyoti Yojana (DDUGJY)

Government of India launched the Deendayal Upadhyaya Gram Jyoti Yojana (DDUGJY) in December, 2014 for rural electrification works across the country.

Under DDUGJY and thereafter under Pradhan Mantri Sahaj Bijli Har Ghar Yojana (Saubhagya), the electrification of all villages and all willing Households was completed by 31st March, 2019 as reported by all State Governments.

A total of 2.86 crore Households were electrified under the aegis of Saubhagya including additional households in two tranches that were unwilling for electrification earlier but became willing later.   The Revamped Distribution Sector Scheme (RDSS) has provisions for providing assistance for giving connectivity to any habitation/household which may have been left out, provided that the said house/habitation was in existence when DDUGJY/Saubhagya were sanctioned.

31-Mar-2022: Steps by Government for implementation and completion of projects under DDUGJY scheme

Following steps were taken by Government for implementation of the projects and completion of projects:

  1. At Central level, an inter-ministerial Monitoring Committee on DDUGJY headed by the Secretary, Ministry of Power, Government of India monitored the implementation of the scheme. Besides, the progress is reviewed with States / Power Utilities in Review, Planning and Monitoring (RPM) meetings of Ministry of Power on a monthly basis.
  2. Time extension was granted as requested by the States to facilitate execution and completion of the scheme.
  3. At the State level, a Committee under the Chairmanship of Chief Secretary monitored the progress to resolve issues relating to implementation. Further, the progress was reviewed on a monthly basis and on a fortnightly basis.
  4. Rural Electrification Corporation (REC) Limited, the nodal agency, monitored implementation of the scheme through its State Offices at the field level. The nodal agency also appointed third party M/s Ernst & Young LLP, New Delhi through e-tendering process for post implementation evaluation of DDUGJY for providing consulting services for evaluation of DDUGJY scheme.
  5. At District level, (DISHA) District Development Coordination & Monitoring Committee meetings (under the aegis of Ministry of Rural Development) headed by senior-most Hon’ble Member of Parliament (Lok Sabha) of the district & other MPs of the district as co-chair with District Magistrate as Convener, review the progress.

29-Mar-2022: Deen Dayal Upadhyaya Gram Jyoti Yojana (DDUGJY) for rural electrification works

The Government of India launched Deen Dayal Upadhyaya Gram Jyoti Yojana (DDUGJY) in December, 2014 for rural electrification works including separation of agriculture and non-agriculture feeders, strengthening and augmentation of sub-transmission & distribution infrastructure, metering at distribution transformers/feeders/consumers and electrification of villages across the country. As reported by the States, all the inhabited un-electrified census villages stand electrified on 28th April, 2018 across the country. Under DDUGJY, 18,374 un-electrified census villages were reported to be electrified from 2014-15 till 28.04.2018. A total of 1,27,68,620 households have been covered under DDUGJY.

8-Feb-2022: 1,27,68,620 number of electricity service connections provided to BPL households under DDUGJY

The Government of India had launched Deendayal Upadhyaya Gram Jyoti Yojana (DDUGJY) in December, 2014 for various rural electrification works.  As reported by the States, all the inhabited un-electrified census villages stand electrified on 28th April, 2018 in the country. Under DDUGJY, 18,374 inhabited unelectrified census villages were reported to be electrified from 2014-15 to 28.04.2018. Under DDUGJY, 1,27,68,620 number of electricity service connections (installation cost funded by scheme) were provided to BPL households.

1-May-2018: Clarification regarding electrification status of certain villages

Village electrification targets under ‘Deen Dayal Upadhyaya Gram Jyoti Yojana’ (DDUGJY) have been achieved well before time. The Union Government, State agencies and all other stakeholders involved directly or indirectly in this program deserve appreciation and applause for putting in unprecedented efforts to ensure completion of task within the targeted time frame.

It is worthwhile to mention that most of the remaining villages were located in remote and inaccessible areas with difficult hilly terrain, deep forest areas, Left Wing Extremism affected areas and therefore probably remained neglected for electrification.

The progress of village electrification in three years from 2012-13 to 2014-15, prior to commencement of Deen Dayal Upadhyaya Gram Jyoti Yojana (DDUGJY), on an average was only 1730 villages per year, including lowest ever figure of 1197 villages in 2013-14.

The Government has already launched ‘Pradhan Mantri Sahaj Bijli Har Ghar Yojana’- ‘Saubgaya’ to provide last mile connectivity and service connections to all remaining households in both rural and urban areas to achieve universal household electrification. All the remaining households including located in the habitations/hamlets/Dhanis/Majras/Tolas associated with the Census villages and households attached to urban settlements would be covered under ‘Saubhagya’.

Most of the villages reported in the news reports are in fact habitations / hamlets / Dhanis / Majras / Tolas and not the Census villages.