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Biomass

Energy
Empowering
Renewable Future

use in various sectors of the economy to


ensure derivation of maximum benefits.

BIOMASS ENERGY
Empowering a Renewable Future
INTRODUCTION:
Energy sector is the key to Indias future
growth. Energy from non-conventional
resources like biomass would be crucial in
meeting the growth targets in the power
sector and overall economy. Biomass is a
renewable energy resource derived from
the carbonaceous waste of various human
and natural activities. It is derived from
numerous sources, including the byproducts from the timber industry,
agricultural crops, raw material from the
forest, major parts of household waste and
wood.
India is the only country in the world to
have an exclusive ministry for renewable
energy development. Subsidies and fiscal
incentives made available by the
government for the promotion of
renewable energy technologies in the
country include income tax holiday,
accelerated depreciation, concessional
custom duty and duty free imports,
capital/interest subsidy and incentive for
preparation of feasibility reports. (February
10, 2011 e-magazine)
Ministry of New and Renewable Energy has
realized the potential and role of biomass
energy in the Indian context and hence has
initiated a number of programs for
promotion of efficient technologies for its

Biomass power generation in India is an


industry that attracts investments of over
Rs.600 crores every year, generating more
than 5000 million units of electricity and
yearly employment of more than 10 million
man-days in the rural areas. For efficient
utilization of biomass, bagasse based
cogeneration in sugar mills and biomass
power generation have been taken up
under biomass power and cogeneration
programme.
Also with the rapid urbanization &
industrialization, a sector of industries
dealing with the raw material/waste
material has come up in the past few years.
This sector comprising of the industries i.e.
Agro-food processing industries, Pulp &
paper manufacturing, edible & non edible
oil exploring units, sugar industries etc. are
the main contributor of the organic waste
generation in addition the urban waste in
the country.
The above wide range of industrial, urban &
agricultural & crop residues and animal
dung etc. waste is proved to be the best
and effective source of energy generation.
The energy produced from such bio-mass or
organic waste is well known as BIOENERGY.

INDIAS POWER SECTOR SCENARIO

Power Sector
Consumption
3%

Coal

11%

Gas

21%
55%
9%
1%

also capable of providing firm energy.


About 32% of the total primary energy use
in the country is still derived from biomass
and more than 70% of the countrys
population depends upon it for its energy
needs.
FUTURE POTENTIAL
ENERGY IN INDIA

OF

BIOMASS

Oil
Hydro
Nuclear
Renewable

Source: CEA as on 30-11-2011


Biomass power & cogeneration program is
implemented with the main objective of
promoting technologies for optimum use of
countrys biomass resources for grid power
generation. Biomass materials used for
power generation include bagasse, rice
husk, straw, cotton stalk, coconut shells,
soya husk, de-oiled cakes, coffee waste,
jute wastes, saw dust and groundnut shells
etc.
Biomass has always been an important
energy source for the country considering
the benefits it offers. It is renewable,
widely available, and carbon-neutral has the
potential to provide significant employment
in the rural areas. It is used in a variety of
ways as a feedstock for numerous industrial
processes now. These include food
processing,
papermaking,
electricity
generation,
building
materials
and
pharmaceuticals to name a few. Biomass is

Biomass is a vital source of energy for


household
and
industrial
energy
requirements in India. It is the most
commonly used domestic fuel apart from
being the energy source for several smallscale industries and fuel for independent
power plants. On a global scale, biomass
supplies more than 1% of the electricity
demand, i.e. some 257 TWh per year (IEA,
2009).
The current availability of biomass in India
is estimated at about 500 million metric
tones per year. MNRE has estimated
biomass availability at about 120 150
million metric tons per annum covering
agricultural
and
forestry
residues
corresponding to a potential of about
18,000 MW. In addition to this, about 5,000
MW additional powers could be generated
through bagasse based cogeneration in the
countrys 550 sugar mills.

Biomass/Bagasse based
Power (MW)
Installed

Potential

89%

Sr. No.

State

Potential
(in MW)

1.

Maharashtra

1250

2.

Uttar Pradesh

1250

3.

Tamil Nadu

450

4.

Karnataka

450

5.

Andhra Pradesh

300

6.

Bihar

300

7.

Gujarat

350

8.

Punjab

300

9.

Haryana &
others

350

Total

5000

11%

Figure 1 Biomass/Bagasse based Power Source: MNRE

As of December 2010, the total installed


capacity of biomass based power in India
was 2,559 MW, India has a potential to
generate an additional 20 GW of electricity
from biomass residues. In order to realize
the potential effectively, various fiscal
incentives are being provided by the
Government (MNRE).
The current availability of biomass in India
is estimated at about 500 millions metric
tones per year. Studies sponsored by the
Ministry has estimated surplus biomass
availability at about 120 150 million
metric tones per annum covering
agricultural
and
forestry
residues
corresponding to a potential of about
18,000 MW. This apart, about 5000 MW
additional power could be generated
through bagasse based cogeneration in the
countrys 550 Sugar mills, if these sugar
mills were to adopt technically and
economically optimal levels of cogeneration
for extracting power from the bagasse
produced by them.

Table 1 POTENTIAL FOR BAGASSE BASED COGENERATION


IN MAJOR SUGAR PRODUCING STATES IN INDIA

KEY DRIVERS FOR BIOMASS ENERGY


The key drivers for Biomass energy in India
are the following:
The demand-supply gap, especially
as population increases
A large untapped potential
Concern for the environment
The need to strengthen Indias
energy security
Pressure on high-emission industry
sectors from their shareholders
A viable solution for rural
electrification

WASTE TO ENERGY
Solid waste generated at domestic level is
the single largest component of all wastes
generated in our country. A number of
research studies have shown that
somewhere 300 to 600 gm. of solid waste is
generated per person per day in our
country.
Eventually, Municipalities everywhere face
the problems of waste collection,
processing and disposal or treatment of

voluminous solid waste produced by the


cities. Moreover, the rains and humidity on
the garbage promotes the bacterial
multiplication and enhances the spread of
infectious diseases. It has been estimated
that about 70 MW equivalent powers could
be generated from urban & municipal
waste alone. This potential is likely to
increase further with our economic growth.
In order to recover energy from municipal
solid waste (MSW) and liquid waste (MLW),
Gujarat Energy Development Agency
(GEDA) Vadodara, had carried out the
Prefeasibility Studies in total seven cities
(i.e. Ahmedabad, Bhavnagar, Vadodara,
Rajkot, Bhuj, Bharuch & Valsad) under
National Programme on Energy Recovery
From Urban, Municipal & Industrial
Wastes launched by Ministry of Non
Conventional Energy Sources (MNES) Govt.
of India.
The Govt. of India has already announced a
National policy of fiscal & financial
incentives to private as well as Public Sector
entrepreneurs and investors interested in
setting up Urban & Industrial wastes based
power projects on Build Own Operate &
Transfer (BOOT), Build Own & Operate
(BOO), Build Operate and Transfer (BOT)
and on Build Operate Lease & Transfer
(BOLT) basis.

WTE POTENTIAL IN INDIA


Energy Generation Potential in Identified
Industrial Sectors
Sectors

Dairy
Distillery
Maize Starch
Liquid waste
Solid waste
Tapoica Starch
Liquid waste
Solid waste
Poultry
Paper
Slaughterhouse
Sugar
Liquid waste
Solid waste
Tanneries
TOTAL

Period
2007

2012

2017

61
503
105
24
81
24
18
6
65
58
94
363
59
304
6
1279

779
628
132
30
102
30
122
8
81
72
117
453
73
380
8
1598

966
785
164
37
127
37
27
10
102
90
146
567
92
475
10
1997

PROJECTS IMPLEMENTED IN GUJARAT


BY GEDA
1. O.833 MW eq.(10,000nm3/day) capacity
Maize Starch Industry Liquid waste
based Biomethanation plant at Sayaji
Industries Ltd., Kathwada, Maize
Products, Ahmedabad
2. 0.945MW biogas Based Power Project
at M/s Sayaji Industries, Kathwada
3. 12000 nm3 biogas per day (1MWeq.)
Maize Starch Industry liquid waste
based Biomethanation plant by M/s
Gujarat Ambuja Exports Ltd., at Vill:
Dalpur, Dist: S.K.

4. Industrial Waste based 4800nm3/day


capacity Bio-methanation Project at M/s
Anil Starch Products Ltd., Ahmedabad
5. 2.0 MW capacity Bio-gas based Power
Generation Project

BIOMASS ENERGY TECHNOLOGY


APPLICATIONS
Biomass Energy
Technology
Applications

Biofuels

Biomass
Power

Bioproducts

1. Biofuels
Unlike other renewable energy sources,
biomass can be converted directly into
liquid fuels - biofuels - for our
transportation needs (cars, trucks, buses,
airplanes, and trains). The two most
common types of biofuels are ethanol and
biodiesel.
Ethanol is an alcohol, the same found in
beer and wine. It is made by fermenting
any biomass high in carbohydrates
(starches, sugars, or celluloses) through
a process similar to brewing beer.
Ethanol is mostly used as a fuel additive
to cut down a vehicle's carbon
monoxide and other smog-causing
emissions. But flexible-fuel vehicles,
which run on mixtures of gasoline and
up to 85% ethanol, are now available.

Biodiesel is made by combining alcohol


(usually methanol) with vegetable oil,
animal fat, or recycled cooking greases.
It can be used as an additive to reduce
vehicle emissions (typically 20%) or in its
pure form as a renewable alternative
fuel for diesel engines.
2. Biomass Power
Bio power, or biomass power, is the use of
biomass to generate electricity. There are
five major types of bio power systems:
direct-fired, cofiring, gasification, anaerobic
digestion, and pyrolysis.
Most of the bio power plants in the
world use direct-fired systems. They
burn bioenergy feed stocks directly to
produce steam. This steam is usually
captured by a turbine, and a generator
then converts it into electricity. In some
industries, the steam from the power
plant is also used for manufacturing
processes or to heat buildings. These
are known as combined heat and power
facilities. For instance, wood waste is
often used to produce both electricity
and steam at paper mills.
Many coal-fired power plants can use
cofiring systems to significantly reduce
emissions, especially sulfur dioxide
emissions. Cofiring involves using
bioenergy
feedstocks
as
a
supplementary energy source in high
efficiency boilers.

Gasification
systems
use
high
temperatures and an oxygen-starved
environment to convert biomass into a
gas (a mixture of hydrogen, carbon
monoxide, and methane). The gas fuels
what's called a gas turbine, which is very
much like a jet engine, only it turns an
electric generator instead of propelling
a jet.
The decay of biomass produces a gas methane - that can be used as an
energy source. In landfills, wells can be
drilled to release the methane from the
decaying organic matter. Then pipes
from each well carry the gas to a central
point where it is filtered and cleaned
before burning. Methane also can be
produced from biomass through a
process called anaerobic digestion.
Anaerobic digestion involves using
bacteria to decompose organic matter
in the absence of oxygen.
Pyrolysis occurs when biomass is
heated in the absence of oxygen. The
biomass then turns into a liquid called
pyrolysis oil, which can be burned like
petroleum to generate electricity. A
biopower system that uses pyrolysis oil
is being commercialized.
3. Bioproducts
Bioproducts, or bio based products, are not
only made from renewable sources, they
also often require less energy to produce
than petroleum-based products. Other
important building blocks for Bioproducts

include carbon monoxide and hydrogen.


When biomass is heated with a small
amount of oxygen present, these two gases
are prod
uced in abundance. Scientists call this
mixture biosynthesis gas. Biosynthesis gas
can be used to make plastics and acids,
which can be used in making photographic
films, textiles, and synthetic fabrics.
When biomass is heated in the absence of
oxygen, it forms pyrolysis oil. A chemical
called phenol can be extracted from
pyrolysis oil. Phenol is used to make wood
adhesives, molded plastic, and foam
insulation. Biomass can be used to produce
a variety of biodegradable plastic products,
antifreeze, glues, artificial sweeteners, and
gel for toothpaste.

Sr. Power generation


No. Projects

1
2

3
4

Biomass based power


generation
Municipal solid waste
based power projects,
Urban & Industrial
waste based power
generation

Bagasse based Cogeneration Projects


Animal Dung based
electricity generation
in villages Gaushalas /
Panjrapoles.

POWER
GENERATION
THROUGH
RENEWABLE ENERGY SOURCES
Gujarat is a fast developing state and needs
a huge amount of electricity for its high
profile growth. The Bio-mass, urban &
industrial wastes could be the best sources
in our state for power generation in
centralized as well as de-centralized
manner.The power generation projects may
be basically categorized in to two categories
as follows:
1)
2)

Grid connected power generation


projects
Captive/De
centralized
power
generation projects

The type of waste/raw materials & wastes


treatment technology options for Grid
connected & captive /de centralized power
projects is defined here as under:

Grid
connected
power
projects
Crop residues

Captive/
De centralized
power projects

Technological
treatment path

Woody bio-mass

Municipal solid
waste &
distillery wastes

Agro. Food processing


industrial wastes canteen
waste, vegetable market
yard waste, press mud ,
dairy waste etc.

Gasification
/combustion
Combustion
Biomethanation,
Gasification,
Refused derived
fuel technology,
pyrolysis &
gasification.
Combustion /
pyrolysis
Community &
Institutional biogas Technology

Bagasse

Cow dung

FISCAL INCENTIVES FOR BIOMASS POWER GENERATION

Item

Description

Accelerated Depreciation

80% depreciation in the first year can be claimed for the following equipment required for
co-generation systems:
1. Back pressure, pass-out, controlled extraction, extractioncum-condensing turbine
for co-generation with pressure boilers
2. Vapor absorption refrigeration systems
3. Organic rankine cycle power systems
4. Low inlet pressures small steam turbines

Income Tax Holiday

Ten years tax holidays.

Customs Duty

Concessional customs and excise duty exemption for machinery and components for initial
setting up of projects.

General Sales Tax

Exemption is available in certain States

CENTRAL FINANCIAL ASSISTANCE FOR BIOMASS POWER PROJECTS & COGENERATION


The incentive scheme provides CFA in the form of capital
subsidy and Grant in Aid in respect of following activities.
1. Industrial waste to biogas
2. Power Generation from Biogas

3. Power Generation from solid industrial waste


4. Promotional activities
5. R&D, Resource assessment, technology Upgradation
and performance evaluation, etc.

Project Type

Special Category States


(NE Region, Sikkim, J&K, HP &
Uttaranchal)
Capital Subsidy

Other States
Capital Subsidy

Biomass Power projects

Rs. 25 lakh X (C MW)^0.646

Rs. 20 lakh X (C MW)^0.646

Rs.18 lakh X (C MW)^0.646

Rs. 15 lakh X (C MW)^0.646

Rs. 40 lakh *
Rs. 50 lakh *
Rs. 60 lakh *
Per MW of surplus power@
(maximum support Rs. 8.0 crore
per project)

Rs. 40 lakh *
Rs. 50 lakh *
Rs. 60 lakh *
Per MW of surplus power@
(maximum support Rs. 8.0 crore per
project)

Bagasse Co-generation by
Private sugar mills
Bagasse Co-generation projects
by cooperative/ public sector
sugar mills
40 bar & above
60 bar & above
80 bar & above

Where;
C: Capacity of the project in MW; ^: raised to the power
*: For new sugar mills (which are yet to start production and sugar mills employing backpressure route/seasonal/incidental
cogeneration) subsidies shall be one-half of the level mentioned above.

Contact Us:
Block No. 1, 9th Floor, Udyog bhavan, Sector 11,
Gandhinagar - 382 017
Phone: +91-079-23256671, 079-23243847
Fax: +91-079-23256679
E-mail: dir-ced@gujarat.gov.in, cor-ced@gujarat.gov.in