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as for fodder, as fuel for domestic cooking and other economic purposes.

The
technology used includes direct combustion, cogeneration and gasification. The
grid-interactive biomass-generation capacity was approximately 2 GW as of 31
July 2009. Bagasse-based cogeneration is the largest contributor, with 1155 MW,
while agri-residue-based power accounts for the remaining 773 MW. In addition,
India has 175.78 MW of off-grid biomass power capacity. An indicative table for
the growth of biomass power over the years is provided below.

S.No. State upto 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 Total
31.03.2003
1 Andhra Pradesh 160.05 37.70 69.50 12.00 22.00 33.00 9.00 334.25
2 Chattisgarh 11.00 – – 16.50 85.80 33.50 9.88 156.10
3 Gujarat 0.50 – – – – – – 0.50
4 Haryana 4.00 – 2.00 – – – – 6.00
5 Karnataka 109.38 26.00 16.60 72.50 29.80 8.00 12.00 274.28
6 Madhya Pradesh 0.00 1.00 – – – – – 1.00
7 Maharashtra 24.50 – 11.50 – 40.00 38.50 41.50 155.50
8 Punjab 22.00 – – 6.00 – – – 28.00
9 Rajasthan 0.00 7.80 – 7.50 8.00 – 8.00 31.30
10 Tamil Nadu 106.00 44.50 22.50 – 42.50 75.00 18.20 308.70
11 Uttar Pradesh 46.50 12.50 14.00 48.50 – 79.00 172.00 372.50
Total 381.30 129.50 136.10 163.00 228.10 266.00 270.50 1,677.13
Source: MNRE

11 Renewable energy The next wave


Factors that may impede growth
• The biomass market is largely unorganized and little comfort exists for securing
fuel supplies by way of contracts such as an FSA.
• Biomass as a generic term includes various species and types, some of which may
require special treatment before being used as fuel depending upon technology
being used, e.g. briquetting and/or drying.
• Biomass price can typically be characterized as a low mean price (INR1/kg) fuel
with high seasonal variations. Orders of various SERC’s reflect the difficulty in
pricing biomass. Distributed availability of biomass necessitates collection and
transportation further adding up costs.
• States such as Bihar, Punjab, Rajasthan and Madhya Pradesh have a catchment
area approach to setting up biomass power projects, which limit project size over
a defined area.

Other renewable energy technologies


The MNRE is proactively pursuing the development of other renewable sources
such as energy from urban and industrial waste, geothermal energy and ocean
energy and alternative fuels such as hydrogen, fuel cells and bio fuel. The Ministry
is implementing broad-based programs on these frontier technologies, and has
taken several initiatives to accelerate their development and demonstration with
the participation of premier research and academic Institutions, universities,
laboratories and the industry.

Renewable energy The next wave 12


CERC Tariff Regulations, 2009
The recent Central Electricity Regulatory Commission (CERC) (Terms and
Conditions of Tariff) Regulations, 2009 under Section 61, read with Section 178
(2) (s) of the Electricity Act 2003, are in pursuance of the requirement under the
Electricity Act 2003. These regulations encompass wind, small hydro, biomass,
non-fossil fuel-based cogeneration projects, SPV and solar thermal, which are
either owned centrally or supply power to more than one state.

Eligibility and other principles


Type of project Eligibility criteria
Wind Located at wind sites with minimum annual mean
wind power density (WPD) of 200 watt/m2, measured
at a hub height of 50 m using the new wind turbine
and generator (WTG).
Small hydro Located at sites approved by state nodal agencies or
the state government, using new plant and machinery
and with an installed capacity of 25MW or less.
Biomass Biomass projects using new plant and machinery,
based on the Rankine Cycle, using biomass fuel,
provided that the use of fossil fuel is restricted to only
15% of total fuel consumption
Non-fossil Fuel-based In accordance with the definition and use of new plant
Cogeneration: topping cycle and machinery.

Topping cycle mode Provided that the sum of the useful power output and
one half of the thermal output is greater than 45% of
the facility’s energy consumption during season
SPV and solar thermal Based on MNRE-approved technologies

The control period for this order is three years, ending on 31 March 2012, while
the tariffs shall be valid for 13 years. However, this is with exception to small
hydro, ASPV and solar thermal projects.

The renewable energy tariff has been designated on a cost-plus approach as a


single part tariff consisting of various constituents such as capital cost, return on
equity (ROE), debt-equity ratio, interest rate, depreciation, interest on working
capital and operational and maintenance (O&M) expenses.

13 Renewable energy The next wave

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