Category
- Products
-
- Solar Energy
- FAQ
- Solar Photovoltaic
- Contact us
Inverter manufacturer
buy@inverter.co tech@inverter.co
Home » Solar Energy » Solar Power vs Biomass Power in India
Solar Power vs Biomass Power in India
Solar Irrigation has the mention to use roof of Huts at the fields for water supply, instead of wasting the lands for growing biomass:
Mail excerpts sent to MNRE on Biomass for a Seminar being organised):
Please find enclosed the Project Financials for a Biomass power project (without carbon and charcoal benefits as envisaged by us for now, which needs moderation) for a 20 year project period and with an additional investment of Rs. 1.5 Crore (estimate only) after 10 years due to producer gas Engine's major overhaul..... I hope these should be highlighted by the Equipment suppliers as many Biomass power project developers have burnt the fingers on some / many of these accounts:
a). Raw material escalation is not compensated under the present tariff being paid by any state government. In some of the states, the power tariff is not even compensating the Raw material costs with interest + O & M (one can see from the financials, which of course can be modified by the wizards). REC model is quite uncertain.
b). High interest rates in INDIA.
c). Non availability of biomass (many promoters extracted (or enjoyed)) the Capital subsidy and now the defaulters of Debt, so what is the use of DPR and how do you fix the responsibility on DPR making agencies, credit rating agencies, certifying agencies or the Consultants or Experts or Bank Manager's accepting such DPRs and the responsibility of the Release of Capital Subsidy from MNRE etc.
d). Many 5 to 6 MW projects of few EPC company (promoters are in deep red due to no biomass or high cost of biomass) are defunct, but, Debt is not paid...what is the action put in place to develop sustainable action plan for Biomass power project development? Request xxx and MNRE Secretary / Officials, xxx to explain / address on this aspect.
e). How is the O & M support after a 10 years of Project running. What is the result and spending of O & M expenses of the project being shown by xxx run project with realistic figures on Raw material purchase, O & M Costs, Energy Generated, Carbon benefits, Charcoal benefits, any major failures or how to mitigate the yearly escalation costs of biomass?
f). Can Government provide minimum support price for the Biomass to control the escalation of biomass costs and its transportation due to failed DPRs as biomass is not available (please note nearly 8000 MT/MW/year of biomass is needed to run 24x7 to have 80% plant capacity due to 15 to 20% Auxiliary power consumption by the plant itself!!)
g). Agriculture department will not allow captive biomass to be grown (on NA land!!) and its cost control may be a feasibility, but, briquetting costs, growing the biomass grass (to generate power??) instead of food grain (Government declares land as barren, if nothing grows per year, but, how can we grow the biomass grass??)
h). Biomass plant's water pollution to the nearby agriculture field (scrubber waste disposal) and its toxicity reports must be made public. Can the project being maintained by xxx provide all these details including effluent treatment or its associated costs??
i). In order to attract new small entrepreneurs in their native land with NABARD / ADB funding of Equity and Debt, we must publish the business and finance model, vetted by MNRE / REDLs so that low cost overheads to have low power price can be explored. Government nominee must on the Board of these Project Promoter companies till the debt is repaid along with interest.
j). Seasonal Biomass availability can be stored (excess land requirement per project) and a small plant can be run (with necessary briquett storage mechanism in all seasons) so that PLF can be improved and the project profitability can be ensured.
Many DPRs prepared for 3 to 5 years financial projects and then getting the equity + Capital Subsidy, then, abandoning the plant is not good for the Country and its Debt failure, which is already around USD 40 Billion and no action to recover, but, with the Parliament's amendment, we hope we can curtail the growth of Bad / wrong project promoters or wrong equipment sellers (to boost their equipment selling with fictitious or failed DPRs), thus, we can ensure the sustainability in Biomass power project. Smaller the project size, more sustainability in case of Biomass Power project.
Important: We must promote INTEREST SUBSIDY to make project promoters, DPR preparation agencies, Equipment suppliers responsible for an inclusive and sustainable growth in Biomass power generation as it will make these entities responsible till the debt payment. CAPITAL SUBSIDY OR VIABLE GAP FUNDING will make the system irresponsible and the Country's Non Performing Assets will increase and the Indian Economy will get deteriorated.
Together let us make good things happen in INDIA with responsibility and accountability with an improvement in financials and with Mentoring support from Government and such qualified agencies who can act as Independent directors in the board of these small entrepreneurs companies till the debt is paid back and also to ensure the smooth and timely energy bill payment (Escrow amount per year can be set aside or a LC can be revolving with revalidation etc) from the Government / DISCOMs irrespective of which party is in the ruling or such Political dynamics in the State or Central Government due to fiscal policies etc... Policy or administration change shall not impact the project viability or profitability....
Mail excerpts sent to MNRE on Biomass for a Seminar being organised):
Please find enclosed the Project Financials for a Biomass power project (without carbon and charcoal benefits as envisaged by us for now, which needs moderation) for a 20 year project period and with an additional investment of Rs. 1.5 Crore (estimate only) after 10 years due to producer gas Engine's major overhaul..... I hope these should be highlighted by the Equipment suppliers as many Biomass power project developers have burnt the fingers on some / many of these accounts:
a). Raw material escalation is not compensated under the present tariff being paid by any state government. In some of the states, the power tariff is not even compensating the Raw material costs with interest + O & M (one can see from the financials, which of course can be modified by the wizards). REC model is quite uncertain.
b). High interest rates in INDIA.
c). Non availability of biomass (many promoters extracted (or enjoyed)) the Capital subsidy and now the defaulters of Debt, so what is the use of DPR and how do you fix the responsibility on DPR making agencies, credit rating agencies, certifying agencies or the Consultants or Experts or Bank Manager's accepting such DPRs and the responsibility of the Release of Capital Subsidy from MNRE etc.
d). Many 5 to 6 MW projects of few EPC company (promoters are in deep red due to no biomass or high cost of biomass) are defunct, but, Debt is not paid...what is the action put in place to develop sustainable action plan for Biomass power project development? Request xxx and MNRE Secretary / Officials, xxx to explain / address on this aspect.
e). How is the O & M support after a 10 years of Project running. What is the result and spending of O & M expenses of the project being shown by xxx run project with realistic figures on Raw material purchase, O & M Costs, Energy Generated, Carbon benefits, Charcoal benefits, any major failures or how to mitigate the yearly escalation costs of biomass?
f). Can Government provide minimum support price for the Biomass to control the escalation of biomass costs and its transportation due to failed DPRs as biomass is not available (please note nearly 8000 MT/MW/year of biomass is needed to run 24x7 to have 80% plant capacity due to 15 to 20% Auxiliary power consumption by the plant itself!!)
g). Agriculture department will not allow captive biomass to be grown (on NA land!!) and its cost control may be a feasibility, but, briquetting costs, growing the biomass grass (to generate power??) instead of food grain (Government declares land as barren, if nothing grows per year, but, how can we grow the biomass grass??)
h). Biomass plant's water pollution to the nearby agriculture field (scrubber waste disposal) and its toxicity reports must be made public. Can the project being maintained by xxx provide all these details including effluent treatment or its associated costs??
i). In order to attract new small entrepreneurs in their native land with NABARD / ADB funding of Equity and Debt, we must publish the business and finance model, vetted by MNRE / REDLs so that low cost overheads to have low power price can be explored. Government nominee must on the Board of these Project Promoter companies till the debt is repaid along with interest.
j). Seasonal Biomass availability can be stored (excess land requirement per project) and a small plant can be run (with necessary briquett storage mechanism in all seasons) so that PLF can be improved and the project profitability can be ensured.
Many DPRs prepared for 3 to 5 years financial projects and then getting the equity + Capital Subsidy, then, abandoning the plant is not good for the Country and its Debt failure, which is already around USD 40 Billion and no action to recover, but, with the Parliament's amendment, we hope we can curtail the growth of Bad / wrong project promoters or wrong equipment sellers (to boost their equipment selling with fictitious or failed DPRs), thus, we can ensure the sustainability in Biomass power project. Smaller the project size, more sustainability in case of Biomass Power project.
Important: We must promote INTEREST SUBSIDY to make project promoters, DPR preparation agencies, Equipment suppliers responsible for an inclusive and sustainable growth in Biomass power generation as it will make these entities responsible till the debt payment. CAPITAL SUBSIDY OR VIABLE GAP FUNDING will make the system irresponsible and the Country's Non Performing Assets will increase and the Indian Economy will get deteriorated.
Together let us make good things happen in INDIA with responsibility and accountability with an improvement in financials and with Mentoring support from Government and such qualified agencies who can act as Independent directors in the board of these small entrepreneurs companies till the debt is paid back and also to ensure the smooth and timely energy bill payment (Escrow amount per year can be set aside or a LC can be revolving with revalidation etc) from the Government / DISCOMs irrespective of which party is in the ruling or such Political dynamics in the State or Central Government due to fiscal policies etc... Policy or administration change shall not impact the project viability or profitability....
Post a Comment:
You may also like:
