Lok Sabha Question No. 3808 (UNSTARRED), answered on 2016-12-08
Subject: Utilization of Waste
Ministry: NEW AND RENEWABLE ENERGY
Asked by: SUNIL BALIRAM GAIKWAD, KUNWAR HARIBANSH SINGH, B.V. NAYAK, P. KUMAR, DEVJI MANSINGRAM PATEL

## GOVERNMENT OF INDIA

## MINISTRY OF NEW AND RENEWABLE ENERGY

## LOK SABHA

## UNSTARRED  QUESTION NO. 3808

TO BE ANSWERED ON 08.12.2016

## UTILISATION OF WASTE

## 3808.  DR. SUNIL BALIRAM GAIKWAD :

KUNWAR HARIBANSH SINGH:

SHRI B. V. NAIK :

SHRI P. KUMAR:

SHRI DEVJI M. PATEL

Will the Minister of NEW AND RENEWABLE ENERGY be pleased to state:

- (a) whether  the  Union  Government  has  taken  any  steps  to  utilize  the  municipal waste and other wastes including industrial waste and the waste generated at the time of construction activities for producing energy, if so, the details thereof and the steps being taken by the Government in this regard;
- (b) the  details  of  waste-to-energy  plants  which  are  under  various  stages  of construction in the country, State -wise;

(c) the expenditure likely to be involved in this regard;

- (d) whether  the  Government  has  carried  out  any  study  to  assess  the  costeffectiveness of these plants, if so, the details and the outcome thereof and if not, the reasons therefor along with the steps taken by the Government in this regard;
- (e) the  subsidy  and  other  concessions  granted,  the  number  of  units  set  up  and power  generated  from  such  plants  during  the  last  three  years  and    the  current  year, State-wise;
- (f) whether  the  Government  is  considering  any  long-term  plan/programme  to generate more energy from the municipal and industrial wastes in the country, if  so, the details thereof; and
- (g) the steps taken/being taken by the Government to promote green energy in the country?

## ANSWER

## THE  MINISTER  OF  STATE  FOR  POWER,  COAL,  NEW  AND  RENEWABLE ENERGY &  MINES (INDEPENDENT CHARGE) (SHRI PIYUSH GOYAL)

(a): Ministry  of  New  and  Renewable  Energy  (MNRE) is  currently  implementing  a Programme on Energy from Urban, Industrial and Agricultural Wastes/Residues. The programme supports  setting  up  of  5  pilot  projects  based  on  Municipal  Solid  Wastes (MSW),  besides  projects  based  on  urban,  industrial  and  agricultural  wastes/residues including  the  organic  waste  generated  during  construction  activities.  The  programme provides for Central Financial Assistance (CFA) for projects of different categories as per details given at Annexure - I .

In  addition  to  the  above,  Ministry  of  Urban  Development  (MoUD)  has  also  launched Swachh Bharat Mission (SBM) and one of the admissible components under this is Solid Waste  Management  including  establishment  of  Waste  to  Energy  (WtE)  plants  with Central  support  up  to  35%  of  the  project  cost  in  the  form  of  Viability  Gap  Funding (VGF)/Grant.

(b)&(c): 28  plants  in  10  states  for  generation  of  electricity/production  of  BioCNG/thermal applications from urban, industrial and agricultural wastes with cumulative capacity of about 23.02 MW and a likely expenditure of Rs. 24.36 crore are under various stages of construction under the Ministry of New & Renewable Energy (MNRE)'s Programme. In addition, 52 WtE plants based on MSW in 22 states with a potential to generate 405.3 MW of electricity under SBM are being developed and their cost  will  be  known  once  the  tendering  process  is  completed  by  the  states.  Details  of these plants are given at Annexure -II .

(d): The WtE plants are cost effective with the Generic Tariff as given at Annexure III for MSW, Refuse Derived Fuel (RDF) and Biogas based WtE projects determined on cost  plus  basis  which  was  notified  by  the  Central  Electricity  Regulatory  Commission (CERC) on 7 th October 2015 and 31 st March 2013 respectively.

(e): 33  WtE  Plants  in  13  states  with  a  cumulative  installed  capacity  of  over  45.34 MW were provided  subsidy/grant  of  Rs.  31.54  crore  during  the  last  3  years  and  the current  year  as  per  State-wise  details  given  at Annexure  -  IV, besides  other  fiscal incentives in the form concessional customs duty and excise duty exemption for initial setting  up  of  grid  connected  projects  for  power  generation  and/or  production  of  BioCNG from waste.

(f)&(g): In order to encourage faster development of WtE plants in the country, Ministry of Power (MoP), in compliance with Section (3) of the Electricity Act, 2003, has notified the revised Tariff Policy on 28 th January 2016 which mandates the State Distribution Licensee to procure power from all the WtE plants in the State, depending upon the resources available, at the tariff determined by the Appropriate Commission. The potential to generate power from MSW, as estimated by MoUD, is about 500 MW which would be increased to 1075 MW by the year  2031.

********

## Annexure I -  Referred  in  reply  to  part  (a)  of  the  Lok  Sabha  Unstarred  Question  No.  3808  for answer on 08.12.2016

CENTRAL  FINANCIAL  ASSISTANCE  UNDER  THE  PROGRAMME  ON  ENERGY  FROM  URBAN, INDUSTRIAL AND AGRICULTURAL WASTES/RESIDUES

| Wastes/Processes/Technologies                                                                                                                                                | Central Financial Assistance                                                       |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------|
| 1. Power generation from Municipal Solid Waste                                                                                                                               | Rs.2.00 crore/MW (Max. Rs.10.00 crore/Project)                                     |
| 2. Power generation or production of bio- CNG from biogas at Sewage Treatment Plant or through biomethanation of Urban and Agricultural Waste/Residues including cattle dung | Rs.2.00 crore/MW or bio-CNG from 12000 m 3 biogas/day (Max. Rs.5.00 crore/project) |
| 3. Biogas generation from Urban, Industrial and Agricultural Wastes/Residues                                                                                                 | Rs.0.50 crore/MW eq.(12000 m 3 biogas/day with maximum of Rs.5.00 crore/project)   |
| 4. Power Generation from Biogas (Engine/gas turbine route) and/or production of bio-CNG                                                                                      | Rs.1.00 crore/MW or bio-CNG from 12000m 3 biogas (Max. Rs.5.00 crore/project)      |
| 5. Power Generation from Biogas, solid Industrial, Agricultural Waste/residues excluding bagasse through Boiler + Steam turbine Configuration                                | Rs.0.20 crore/MW (Max. Rs.1.00 crore / project)                                    |

## Other incentives and support measures

- i) Incentives  to  State  Nodal  Agencies:  service  charge  @  Rs.1%  of  the  subsidy restricted to Rs.5.00 lakh per project,
2. ii) Financial  Assistance  for  promotional  activities:  for  organizing  training  courses, business  meets,  seminars/workshops  and  publicity/awareness,  subject  to  a maximum of Rs. 3.00 lakh per activity.
3. iii) In  addition,  concessional  customs  duty  and  excise  duty  exemption  are  also provided  for  initial  setting  up  of  grid  connected  projects  for  power  generation and/or production of Bio-CNG from waste.

Annexure -II: Referred in reply to part (b&c) of the Lok Sabha Unstarred Question No. 3808 for answer on 08.12.2016 WASTE TO ENERGY (WtE) PLANTS UNDER CONSTRUCTION OR DEVELOPMENT/TENDERING

| S. No.   | State            | Plants under Waste to Energy Programme   | Plants under Waste to Energy Programme   | Plants under Waste to Energy Programme   | Plants under Swacch Bharat Mission   | Plants under Swacch Bharat Mission   | Plants under Swacch Bharat Mission                                                                                                |
|----------|------------------|------------------------------------------|------------------------------------------|------------------------------------------|--------------------------------------|--------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------|
|          |                  | No. of Plants                            | Proposed Capacity inMW                   | Likely Involved Expenditure Rs. in crore | No. of Plants                        | Proposed Capacity inMW               | Likely Involved Expenditure Rs. in Crore                                                                                          |
| 1        | Andhra Pradesh   | -                                        | -                                        | -                                        | 11                                   | 85                                   | Under various stages of development/tendering and their cost will be known once tendering process is completed by the states /UTs |
| 2        | Assam            |                                          | -                                        | -                                        | 1                                    | 5                                    | Under various stages of development/tendering and their cost will be known once tendering process is completed by the states /UTs |
| 3        | Bihar            | -                                        | -                                        | -                                        | 1                                    | 12                                   | Under various stages of development/tendering and their cost will be known once tendering process is completed by the states /UTs |
| 4        | Chhattisgarh     | -                                        | -                                        | -                                        | 2                                    | 10                                   | Under various stages of development/tendering and their cost will be known once tendering process is completed by the states /UTs |
| 5        | Delhi            | -                                        | -                                        | -                                        | 1                                    | 1.6                                  | Under various stages of development/tendering and their cost will be known once tendering process is completed by the states /UTs |
| 6        | Gujarat          | 4                                        | 3.10                                     | 6.18                                     | 3                                    | 30.5                                 | Under various stages of development/tendering and their cost will be known once tendering process is completed by the states /UTs |
| 7        | Haryana          | 5                                        | 1.33                                     | 2.38                                     | 3                                    | 18.5                                 | Under various stages of development/tendering and their cost will be known once tendering process is completed by the states /UTs |
| 8        | Himachal Pradesh | -                                        | -                                        | -                                        | 1                                    | 1.7                                  | Under various stages of development/tendering and their cost will be known once tendering process is completed by the states /UTs |
| 9        | J&K              | -                                        | -                                        | -                                        | 1                                    | 6.5                                  | Under various stages of development/tendering and their cost will be known once tendering process is completed by the states /UTs |
| 10       | Jharkhand        | -                                        | -                                        | -                                        | 2                                    | 23                                   | Under various stages of development/tendering and their cost will be known once tendering process is completed by the states /UTs |
| 11       | Karnataka        | 1                                        | 0.66                                     | 1.33                                     | 2                                    | 20                                   | Under various stages of development/tendering and their cost will be known once tendering process is completed by the states /UTs |

| 12    | Kerala         | -   | -     | -     | 1   | 10    |
|-------|----------------|-----|-------|-------|-----|-------|
| 13    | Madhya Pradesh | 2   | 1.91  | 1.33  | 5   | 32    |
| 14    | Maharashtra    | 4   | 4.49  | 3.94  | 3   | 28.5  |
| 15    | Manipur        | -   | -     | -     | 1   | 1     |
| 16    | Odisha         | -   | -     | -     | 1   | 11.5  |
| 17    | Punjab         | 2   | 1.42  | 2.83  | 2   | 16    |
| 18    | Rajasthan      | 1   | 0.21  | 0.42  | 3   | 26    |
| 19    | Tamil Nadu     | 1   | 0.6   | 0.3   | 1   | 8     |
| 20    | Telangana      | -   | -     | -     | 1   | 11    |
| 21    | Uttar Pradesh  | 5   | 6.3   | 2.95  | 5   | 25    |
| 22    | Uttarakhand    | 3   | 3.0   | 2.7   | -   |       |
| 23    | West Bengal    | -   | -     | -     | 1   | 22.5  |
| Total | Total          | 28  | 23.02 | 24.36 | 52  | 405.3 |

Annexure III : Referred in reply to part (d) of the Lok Sabha Unstarred Question No. 3808 for answer on 08.12.2016

GENERIC TARIFF FOR WASTE TO ENERGY PROJECTS FOR THE YEAR 2015-16 AS NOTIFIED IN CENTRAL ELECTRICITY REGULATORY COMMISSION (CERC)

| Technology    |   Variable Cost (Rs/kWh) |   Levelised Fixed Cost (Rs /kWh) |   Applicable Tariff (Rs/kWh) |   Benefit of Accelerated Depreciation (if availed) (Rs/kWh) |   Net Levelised Tariff (Rs/kWh) |
|---------------|--------------------------|----------------------------------|------------------------------|-------------------------------------------------------------|---------------------------------|
| MSW           |                     0    |                             7.04 |                         7.04 |                                                        0.54 |                            6.5  |
| RDF based MSW |                     3.56 |                             4.34 |                         7.9  |                                                        0.31 |                            7.59 |
| Biogas        |                     3.57 |                             4.29 |                         7.86 |                                                        0.26 |                            7.6  |

## Annexure IV : Referred in reply to part (e) of the Lok Sabha Unstarred Question No.3808 for answer on 08.12.2016

State-Wise No. of Projects, Cumulative Capacity  and Subsidy Released  for Grid Connected and Decentralized Projects  installed under Waste to Energy Programme  during last 3 years (201314, 2014-15 & 2015-16) and in the current year 2016-17 (as on 30.11.2016)

| SI. No.   | Name of State    |   No. of Projects |   Installed Capacity, inMW |   Subsidy Released, in Crore |
|-----------|------------------|-------------------|----------------------------|------------------------------|
| 1. 1.     | U.P.             |                 4 |                       8.03 |                         6.62 |
| 2. 2.     | Punjab           |                 4 |                       5.17 |                         2.78 |
| 1. 3.     | Maharashtra      |                 5 |                       5.26 |                         5.51 |
| 2. 4.     | Rajasthan        |                 1 |                       0.7  |                         1.4  |
| 3. 5.     | Uttarakhand      |                 1 |                       0.5  |                         0.3  |
| 4. 6.     | Tamil Nadu       |                 1 |                       1.68 |                         0.83 |
| 5. 7.     | Gujarat          |                 1 |                       1.17 |                         2.32 |
| 6. 8.     | A P.             |                 8 |                      14.83 |                         6.59 |
| 7. 9.     | M.P.             |                 1 |                       0.37 |                         0.18 |
| 8. 10.    | Karnataka        |                 3 |                       5.24 |                         3.82 |
| 9. 11.    | West Bengal      |                 2 |                       1.17 |                         0.58 |
| 10. 12.   | Himachal Pradesh |                 1 |                       1    |                         0.5  |
| 11. 13.   | Kerala           |                 1 |                       0.23 |                         0.11 |
|           | Total            |                33 |                      45.34 |                        31.54 |