New Delhi: Taking a step to use clean and green energy sources, the Ministry of Power has introduced a fixed price for biomass pellets at Rs. 2.32 per 1000 kcal, starting from September 1, 2023. This step aims to promote the use of biomass in thermal power plants in the National Capital Region (NCR), reported The Economic Times.
The price, set by the Price Benchmarking Committee formed on June 22, 2023, applies to non-torrefied biomass pellets with a moisture level below 14% and a gross calorific value (GCV) between 2800 and 3400 kcal/kg. This price does not include GST and transportation costs and applies at the point of manufacturing.
This move follows an updated policy from June 16, 2023, aimed at making it easier for power plants to buy biomass pellets and create a strong supply chain. The Price Benchmarking Committee’s decision came after careful analysis to address fluctuations in raw biomass prices and encourage more biomass pellet production in the region.
Thermal power plants in the NCR are now expected to adjust their purchasing practices to meet this new price benchmark, which is intended to help them use biomass along with coal. This effort is aimed at reducing the region’s reliance on coal and increasing the use of renewable energy in India’s power generation.
To read more about Biomass Industry News, continue reading BioEnergyTimes.com
Very good decision