• Objective
  • To promote setting up of projects for recovery of energy in the form of Biogas / BioCNG / Power from Urban, Industrial and Agricultural Waste and Captive Power and Thermal use through Gasification in Industries
  • To promote setting up of projects for recovery of energy from Municipal Solid Waste
    (MSW) for feeding power into the grid and for meeting captive power, thermal and
    vehicular fuel requirements.
  • To promote Biomass Gasifier for feeding power into the grid or meeting captive power
    and thermal needs of rice mills/other industries and villages
  • Period
Upto 2019-20
Salient Features
  • Central Financial Assistance in the form of back-ended subsidy is provided for installation of Waste to Energy projects for recovery of energy in the form of Biogas or BioCNG or Power from Urban, Industrial, Agricultural Waste / Residues and Municipal Solid Waste.
  • Financial assistance available under the Programme on Energy from Urban, Industrial and Agricultural Wastes/ Residues for setting up Waste to Energy plant is as follows:
  • Biogas generation :  Rs 1.0 crore per 12000cum/day ;
  • BioCNG generation (including setting of Biogas plant) : Rs 4.0 Crore per 4800Kg/day;
  • Power generation based on Biogas (including setting of Biogas plant): Rs 3.0 Crore per MW.
  • Power generation based MSW: Rs 5.0 Crore per MW.
  • Biomass Gasifier:
    • Rs. 2,500 per kWe with duel fuel engines  for electrical application
    • Rs. 15,000 per kWe with 100% gas engines for electrical application
    • Rs. 2 lakh per 300 kWth for thermal applications.
  • Incentives to SNAs @ Rs.1% of the eligible CFA (incentive maximum of Rs.5.00 lakh per project)
  • All proposals to be forwarded through Lead bank/ FIs.
  • CFA to be back-ended.
  • CFA for Expansionary Projects will be considered only for the latest capacity addition.
  • Prior Sanction will be required for grant of CFA. Claims of non-commissioned projects only are considered.
  • Projects which have availed loan will only be considered for grant of CFA (exempted for Govt. entities).
  • CFA will be released to the loan account maintained with the Lead FI.
  • Project Advisory Committee (PAC) to evaluate all proposals.
  • Performance inspection to be done by concerned SNAs.
  • Periodic monitoring of the projects to be carried out by a team comprising representatives from Utilities, SNAs, experts appointed by MNRE and Ministry officials. 
How to avail the financial assistance
  • The developers seeking Government support for their projects will submit proposals to Ministry through Bank/Financial Institutions.
  • A Project Advisory Committee (PAC) for Waste to Energy projects constituted with the approval of Secretary, MNRE under the Chairmanship of Joint Secretary (In-charge), MNRE. PAC will evaluate and recommend the project proposals for financial support.
  • The Ministry would issue sanction with the concurrence of IFD and approval of Secretary, MNRE. Based on this sanction/approval the developer can complete their projects as per guidelines of the scheme. The time period for completion of the project is 24 months/36months as applicable.
  • The entire CFA will be released to the developer’s loan account in the lending financial institution/banks for the purpose of offsetting the loan amount only after successful commissioning of the project.
  • The condition of successful commissioning of the Waste to Energy project would, inter-alia, imply operation of the project for three months, including continuous operation for at least 72 hours at minimum of 80% of rated capacity/60% of rated capacity as applicable.
Whom to contactDeputy Secretary/Director, Waste to Energy Division (K. Salil Kumar, Deputy Secretary
Relevant Document
  1. REVISED GUIDELINES OF WASTE-TO-ENERGY PROGRAMME  (Programme on Energy from Urban, Industrial, Agricultural Wastes/ Residues and Municipal Solid Waste)