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Govt extends bioenergy programme to FY26, to provide Rs 858 crore for Phase-I

The National Bioenergy Programme will include three sub-schemes— Waste to Energy Programme (Rs 600 crore), Biomass Programme (Rs 158 crore) and Biogas Programme (Rs 100 crore)

November 07, 2022 / 04:45 PM IST
Paddy stubble bundles stored near a biomass power plant in Punjab. Photo by Manu Moudgil/Mongabay.

Paddy stubble bundles stored near a biomass power plant in Punjab. Photo by Manu Moudgil/Mongabay.

To increase India’s bioenergy capacity, which stands at merely 10,701 MW, the government on November 7 said it was extending a national programme to 2025-26 and would provide Rs 858 crore for the first of the two-phased initiative.

The ministry of new and renewable energy (MNRE) in a statement said the National Bioenergy Programme would include three sub-schemes —Waste to Energy Programme (Rs 600 crore), Biomass Programme (Rs  158 crore) and Biogas Programme (Rs 100 crore).

Under the waste-to-energy programme, companies that take up production of biogas, bioCNG, and electricity from urban, industrial and agricultural waste and residues would be given a central financial assistance (CFA) of ₹25 lakh for 12,000 cubic metre a day.

The maximum assistance for a biogas project will be Rs 5 crore. The Centre will provide financial assistance of ₹75 lakh per MW for new biogas plants and ₹50 lakh per MW for existing units.