Cement, Energy and Environment

Systems (HPS), a rural electrification company, is already pioneering the husk– based biomass gasification technology in Bihar. The company has so far set up 10 biomass plants with capacities ranging from 35 kW to 100 kW. Roughly 1.5 kg of rice husk yields 1 kWh of electricity. HPS has managed to electrify 1,00,000 households spread over 50 off-grid villages in this manner. By 2012, HPS plans to cover 2000 villages in the state. Each plant is expected to offset about 80 to 100 tonnes of carbon dioxide emissions per year. Each plant is expected to offset about 80 to 100 tonnes of carbon dioxide emissions per year. According to HPS, grids specially suited to the size of the villages are set up, thus making the project totally decentralized. Courtesy: Green Energy. Vo/.5, Nov. - Dec.2009, P27. LOWER TARIFF POSES A STALEMATE FOR BIOMASS ENERGY DEVELOPMENT Biomass power plant owners say they cannot manage with power rates fixed when they began operations While the government thrashes out ways and means to ensure raw material and boost green power plants, a biomass power plant had to shut shop unable to cope with the raw material crisis, Rising prices of biomass led the 7.5 MW Konark biomass power plant in Karnataka's Tumkur district to close down in September 2008. M Kumaraiah bought the plant in 2007 because the earlier owner could not run it in the existing market conditions. "The rate of biomass has gone up phenomenally," Kumaraiah said, "In 2005, when the plant became operational, rice husk cost Rs 800 per tonne, but now rice husk costs Rs 2,400 per tonne or even more, and groundnut husk costs Rs 3,000 per tonne. It is now impossible to produce power at the old tariff." He attributes the steep rise in costs in areas close to Bengaluru to the rise in the number of small industries, brick kilns mostly, which now use biomass fuel. When Konark power plant was commissioned in 2005, the tariff for power was Rs. 3.24 per unit. By 2007, Chandrashekhar, the then owner, found it impossible to run the plant at this tariff, and sold out to Kumaraiah. He ran the plant till September 2008, after which he too closed it down following losses. When in January 2009, the government offered a tariff rate of Rs. 5 per unit, the plant ran for five months. In May 2009, the order was withdrawn the old rate was imposed causing the plant to close down again. The 7.5 MW Konark biomass power plant in Tumkur district of Karnataka which generated Rs. 1.01 crore in carbon credits by selling 12,599 CERs to Germany in 2009 still could not manage to sustain operation. Kumaraiah said he is going to take up the issue with the Karnataka Electricity Regulatory Commission (KERC) with other biomass power producers. They too find it difficult to run their plants at power tariff that was fixed when the plants were commissioned, he said. Andhra Pradesh biomass energy developer have often asked for higher tariffs as most units are dependent on rice husk whose prices have increased phenomenally in the last three years - from Rs. 200 per tonne to Rs. 1,500 per tonne. Courtesy: Down to Earth, March 16-31, 2010, Pp30-31 . Solar ANDHRA PRADESH 'BLAZES' AHEAD ON SOLAR PLANS FOR GENERATION AND MANUFACTURING..R&D ACTIVITIES The Andhra Pradesh government's plans to develop the state into a major solar hub in the country is progressing at a fast pace, with the government announcing the setting up of a cluster of solar farms at Kadiri in Anantapur district. 5000 acres have been earmarked in Kadiri which would now be referred to as the 'Solar City'. Four companies , namely Hyderabad– based Lanco Solar and Titan Energy, and US-based Sunborne and AES Solar, have together pledged investments to the tune of Rs. 3000 crore to set up 2000 MW of solar-based power generation facilities in the Solar City. The Andhra Pradesh government is also spearheading the development of the semiconductor manufacturing hub, Fab City, on the outskirts of Hyderabad. Fab City will chiefly cater to the overseas market and is expected to generate 3 GW of solar power in the next 7 -1 0 years. About seven of the twenty companies allotted land here would commence commercial operations in the next four years. A letter of allotment has already been handed over to Moser Bare while BHEL has evinced interest in setting up its own unit soon, investing to the tune of Rs. 500 crore. 58