Biomass power generation takes backseat in East Godavari

Biomass power generation takes backseat in East Godavari
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The powered generation through biomass is said to have taken backseat in East Godavari and in AP in general. The preference to solar energy at national-level and non-extension of subsidy in the last couple of years is said to have forced the entrepreneurs not to venture into power generation through biomass process.

Kakinada: The powered generation through biomass is said to have taken backseat in East Godavari and in AP in general. The preference to solar energy at national-level and non-extension of subsidy in the last couple of years is said to have forced the entrepreneurs not to venture into power generation through biomass process.

Several units in the district have taken up power generation through biomass and it crossed 50 mw per day in the district. Two sugar units at Samalkot and Chelluru, the rice mills, sago, biotech units and paper manufacturing plants have taken up the activity by using waste generated in their respective industries.

A unit at Duppalapudi in Anaparthy mandal started the activity by using poultry waste but said to have halted it with pollution issue. The Sirus Oilseeds unit at V Timmapuram in Peddapuram mandal making strides by generating 9 mw per day in biomass process.

New and Renewable Energy Development Corporation of AP(NREDCAP), the nodal agency of Ministry of New and Renewable Energy (MNRE) is the supervising authority to check the pollution aspects involved in the generation of power in this mode.

The cost of generation of power per one mw stands at Rs 1 crore and the MNRE used to extend 30 per cent subsidy on this cost. This has promoted several units to go for power generation keeping in view of their requirements. The power holidays in the last decade forced many industrial units to opt for this mode on emergency lines.

But the non-extension of subsidy by MNRE forced many units to have second thoughts in the last couple of years and fresh power generation did not take place except from the old units. Nallamilli Vanuatu Reddy, managing director of Sri Ramdas Paper Boards, a recycling paper unit at Jegurupadu in Kadiyam mandal in the district has a different story to tell.

“We are generating 4 mw of power through biomass process and using it for our own needs. But at the time of starting our power generators, we require 800 to 1,000 KVA power. For drawing this power, the AP Transco is charging Rs 16 per unit during peak hours instead of regular tariff of Rs 7.50 per unit,” he said.

Venkata Reddy, president of AP and Telangana recycled paper units, said the withdrawal of subsidy in the last two years forced several units to keep away from taking up power generation.

When contacted on the issue, East Godavari NREDCAP district manager G Satyanarayana said the MNRE is not extending 30 per cent subsidy for biomass power generation as cogeneration or diversified activity since last two years.

Because of this factor, entrepreneurs are not coming forward to take up this activity. The other reason is regular power supply without power holidays, keeping several units from taking up this mode of generation, he said.

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