Explore central and state government incentives for biomass pellet production in India with SERVODAY, including subsidies, grants, and tax credits

• CAPITAL SUBSIDY SCHEMES FOR RENEWABLE ENERGY PROJECTS
  Reducing Initial Costs for Sustainable Ventures: Several state governments in India offer capital subsidy schemes for renewable energy projects, including biomass pellet production. States like Maharashtra, Gujarat, and Tamil Nadu provide subsidies ranging from 20% to 40% of the project cost, subject to a maximum limit. SERVODAY assists clients in navigating these schemes to secure substantial financial support, thereby reducing the upfront capital required for establishing biomass pellet plants and promoting sustainable development.
• GRANTS FROM THE MINISTRY OF NEW AND RENEWABLE ENERGY (MNRE)
  Securing Financial Aid for Biomass Initiatives: The Ministry of New and Renewable Energy (MNRE) in India offers grants for biomass pellet production projects. These grants can cover up to 50% of the project cost for research and development initiatives and up to 20% for commercial projects. SERVODAY can help you identify and apply for these grants, ensuring your project receives the necessary financial backing to succeed in the competitive renewable energy market.
• RENEWABLE ENERGY CERTIFICATES (RECS) FOR BIOMASS POWER PRODUCERS
  Monetizing Environmental Benefits: Biomass pellet producers can generate Renewable Energy Certificates (RECs) by producing electricity from biomass sources. These certificates can be sold or traded to entities required to meet renewable energy obligations. The central government facilitates the REC market, offering a price range from INR 1,000 to INR 3,500 per REC. SERVODAY can assist you in navigating the REC market, helping you monetize the environmental benefits of your biomass pellet production.
• FEED-IN TARIFFS FOR BIOMASS ENERGY GENERATION
  Ensuring Long-term Revenue Stability: Certain Indian states have implemented feed-in tariffs (FITs) for biomass energy producers, providing long-term contracts and guaranteed pricing. For instance, Karnataka offers a FIT of INR 6.75 per kWh for biomass power. SERVODAY can evaluate the FIT policies in your region and help you leverage these tariffs to ensure stable and predictable revenue streams for your biomass pellet production facility.

PERFORMANCE-BASED INCENTIVES FOR EFFICIENT OPERATIONS

Rewarding Excellence in Biomass Production: Performance-based incentives (PBIs) reward biomass pellet production facilities that achieve specific efficiency and environmental targets. These incentives can include bonuses for reducing emissions or enhancing energy output. States like Andhra Pradesh and Rajasthan offer PBIs that can amount to additional revenue of up to INR 2 million annually. SERVODAY supports clients in implementing best practices and advanced technologies to qualify for these incentives, boosting both profitability and sustainability.