Shri R.K Singh, Union Minister for Power and New and Renewable Energy has informed that The Ministry of Power has mandated blending of biomass pellets made primarily of agro residue along with coal under the “Revised Policy for Biomass Utilization for power generation Through Co–firing in Coal based Power Plants” issued on 08.10.2021. The salient points of the said Policy are as under:
- All thermal power plants to use 5% blend of biomass pellets made, primarily, of agro residue along with coal with effect from one year of the date of issue of this guideline. The obligation shall increase to 7% (except for those having Ball & Tube mill the use of biomass remain 5%) with effect from two years after the date of issue of this order and thereafter.
- The minimum contract period for procurement of biomass pellets by generating utilities shall be for 7 years so as to avoid delay in awarding contracts by generating companies every year and also to build up long term supply chain.