In a significant step towards sustainable energy, the Ministry of Power has introduced benchmark pricing for biomass pellets, aiming to enhance the adoption of renewable sources in thermal power plants. This initiative aligns with India’s broader goals of reducing carbon emissions and promoting green energy in power generation.
Biomass pellets, which are derived from agricultural waste, are considered an eco-friendly fuel alternative that reduces dependency on coal. The ministry’s pricing strategy seeks to standardize costs across the industry, making it more financially viable for power plants to integrate biomass into their fuel mix. With these measures, the government intends to address two critical issues: supporting clean energy production and creating new markets for agricultural residues, which are often left unused or burned, leading to pollution.
The benchmark pricing is expected to create a steady demand for biomass pellets, encouraging investments and job creation in the bioenergy sector. Moreover, the initiative is set to benefit farmers by providing an additional revenue stream, as the agricultural byproducts used for pellet production will now have a stable market.
Industry experts believe this move will significantly reduce the carbon footprint of India’s thermal power plants and contribute to the government’s ambitious target of achieving a greener energy grid. By fostering the biomass pellet industry, the Power Ministry is addressing the twin goals of enhancing energy security and supporting a more sustainable economy.
