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The Ministry has been implementing a scheme to support the promotion of biomass-based cogeneration in sugar mills and other industries. The scheme was applicable for projects set up across India. The scheme was notified on 11.05.2018 and was valid till 31.03.2021. Under the scheme, Central Financial Assistance (CFA) @ Rs 25 Lakhs / MW of surplus exportable capacity for bagasse cogeneration projects and Rs 50 Lakhs / MW of installed capacity for non-bagasse cogeneration projects were being provided to plants utilizing biomass like bagasse, agro-based industrial residue, crop residues, wood produced through energy plantations, weeds, wood waste produced in industrial operations, etc. The proposal for the continuation of the scheme beyond 31.03.2021 is under consideration.

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