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Biomass pellets for power generation in India: a techno-economic evaluation
Pallav Purohit1, Vaibhav Chaturvedi2
1International Institute for Applied Systems Analysis (IIASA), Laxenburg, Austria. purohit@iiasa.ac.at.
Biomass pellets-based power (BPBP) offers a viable low-carbon energy solution in India, with significant potential for electricity generation and CO2 mitigation. This study assesses its techno-economic feasibility and environmental benefits.
Area of Science:
- Energy Policy
- Renewable Energy Technologies
- Environmental Science
Background:
- Global policy focus on low-carbon resources for climate targets.
- Recognized importance of bioenergy in India for electricity and other applications.
Purpose of the Study:
- To conduct a techno-economic feasibility assessment of biomass pellets-based power (BPBP) generation in India.
- To evaluate the potential of BPBP projects in terms of capacity, carbon mitigation, and economic viability.
Main Methods:
- Estimation of surplus biomass feedstock availability from agriculture and forestry/wasteland sectors.
- Calculation of potential BPBP capacity and associated carbon dioxide (CO2) mitigation.
- Levelized cost of electricity (LCOE) estimation for BPBP projects compared to coal-based power.
- Determination of the break-even price of carbon for BPBP projects.
Main Results:
- Projected biomass surplus to reach 281 million tonnes by 2030-31, with a potential BPBP capacity of 35 GW.
- Estimated CO2 mitigation potential of 205 million tonnes by 2030-31 through coal substitution.
- LCOE for BPBP estimated at €0.12/kWh, slightly higher than imported coal (€0.10/kWh).
- Break-even carbon price for BPBP projects estimated at €18/tonne in certain states.
- Significant employment generation potential: over 5 million person-months during construction and over 200,000 full-time jobs in operation and pellet production.
Conclusions:
- BPBP presents a technically and economically feasible low-carbon energy option for India.
- BPBP projects offer substantial environmental benefits through CO2 mitigation and contribute to energy security.
- The development of BPBP projects can drive significant employment opportunities across the value chain.
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