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Biomass power producers in India seek Government support

According to reports, the Indian Biomass Power Association has requested the Power Ministry to help resolve some of the problems faced by developers to make their projects financially viable.

The association representatives met the Deputy Chairman of the Planning Commission, Dr Montek Singh Ahluwalia, and Mr P. Umashakar, Union Power Secretary, earlier this week to express their concerns about running biomass projects.

Most of the developers are facing difficulties due to the different regulatory environments in the States.

Mr P. Krishnakumar, President of the Association, and Mr D. Radhakrishna, Secretary-General, in a statement mentioned how biomass project developers are facing tough times due to various State agencies adopting different tariff structures. This is making them unviable in most States.

The officials were informed that while there is potential for about 18,000 MW, only 1050 MW has been commissioned so far and most of the plants are struggling to run optimally. If fact, some of them were on the verge of closure.

The banks are refusing to lend due to delays in securing payments from distribution companies of some States. The biomass sector has a direct bearing on people dependent in the sector, they said.

One comment

  1. Biomass power is being treated as step brother if compared to Solar and Wind power policies of the Govt. While considerind input cost for biomass for pricing policies, local conditions are considered but when deciding policies for Solar and Wind, reference of average national data is used instead of local conditions while calculating plant availability factor or capacity utilization factor. Besides, In case of solar and wind power a sense of imported technology prevails where as in case of Biomass the sense of indianised technology prevails and our beurocrates(unfortunately most of the policies involving technology is still decided or influenced by buerocrates in India) still have the mind set and rather trained to develop a mind set to give more weightage to imported technologies over technologies which have danger of indianisation.

    The fate of Bio diesel and bioethanol in India despite having great potencies , have been sealed in India due to possibility of indinization of the technologies and all the policy deviation in case of Biomass Power is being moved towards same fate.

    The need of the hour is to remove all the local bariers and to formulate a national program and uniform national policy without any deviation in any case for Biomass Power but that probably can not be done in present political scenerio and if center takes some initiative, states may undo the same in the name of interference in state rights over interest of the nation.

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