MoP revises biomass co-firing policy for enabling purchase of biomass pellets by TPPs at benchmark price

The MoP has revised the biomass co-firing policy for enabling the purchase of biomass pellets by thermal power plants (TPPs) at a benchmark price. The price benchmarking of pellets will enable TPPs as well as pellet vendors to establish a sustainable supply mechanism for co-firing of pellets. The benchmarked price will be effective from January 1, 2024. Further, it has been directed that torrefied biomass pellets should only be procured by utilities for which it is technically unavoidable given their limited availability.