Preface
With the launch of The State Bio-Energy Promotion Programme-2018, the Uttar Pradesh government has made great progress in supporting bio-energy businesses in the region. With incentives including capital subsidies, GST reimbursement, and stamp duty exemptions for qualified businesses, this program seeks to increase the production of bioenergy. In order to address environmental crises and soil fertility loss brought on by the burning of agricultural waste, the current focus is on effectively promoting Bio-Energy enterprises based on agricultural waste.
It is expected that the creation of bio-energy businesses will not only allay environmental worries but also help farmers make more money and create new job opportunities in rural areas. The Uttar Pradesh State Bio-Energy Policy-2022 has been introduced in recognition of the need for additional improvements. It aims to enable the production of Bio-Energy from a wider variety of sources, such as waste from sugar mills, livestock waste, agricultural markets, and urban solid waste.
Main Elements of the Policy
1. Name of Policy and Length of Policy (1.1–1.3):* The “Uttar Pradesh State Bio-Energy Policy-2022” is a five-year policy that goes into effect on the day it is announced. Businesses that register under this policy, which replaces the State Bio-Energy Policy of 2014 and the State Bio-Energy Enterprise Promotion Program of 2018, will receive benefits for the duration of their projects.
2. The Production of Bio-CNG and Bio-Coal (1.6): The main goal of the policy is to promote waste-based bioenergy businesses that produce bio-coal and bio-CNG. Promoting the growth of non-edible oil seeds and particular crops will be encouraged in cases of seasonal waste reduction in order to maintain a steady supply of feedstock.
3. Incentives for Bio-CNG/CBG Enterprises Based on Agricultural Waste: The policy supports Farmer Producer Companies (FPOs) and co-operative societies, provides upfront subsidies for equipment used in biomass collection, and promotes the use of bio-manure as a byproduct.
4. Urban Solid Waste, Livestock Waste, Waste-Based Bio-CNG/CBG Enterprises from Sugar Mills, and Agricultural Produce Market Waste: The policy tackles a variety of waste sources, permitting businesses based on urban solid waste and encouraging cooperation with cooperative sugar mills. With a focus on the availability of cow dung, the Animal Husbandry Department will assist in the establishment of CBG plants through state animal shelters.
5. Rewards (4): The policy provides a number of benefits, such as a ten-year 100% exemption from electricity duty, a 100% exemption from stamp duty on land acquisition, and a 100% exemption from state development authorities’ development charges.
6. Leading Organization (5): As the nodal agency, the Uttar Pradesh New and Renewable Energy Development Agency (UPNEDA) will be in charge of investor and developer registration, answer inquiries, and help with the processing of applications that are still pending.
7. Registering Process (6): Information from pertinent departments is obtained, surveys for biomass production capacity are regularly conducted, and suggestions for registration from the District Magistrate’s committee are taken into consideration during this process.
8. Assignment of Land and Corresponding Permits (7): In order to establish bioenergy enterprises, the policy permits deemed exemption from the land ceiling, conversion of agricultural land to non-agricultural land, and token lease rent of Re 1 per acre annually for a maximum of 30 years.
The (8) Development of the Waste Supply Chain In order to create long-term agreements between waste aggregators, farmers, and bioenergy entrepreneurs, the policy presents an aggregator model. The District Level Committee is in charge of aggregator incentives, regulatory support, and coordination.
10. Bio-Diesel and Bio-Ethanol (9): Sales and procurement of Bio-Diesel and Bio-Ethanol shall comply with BIS/Oil Marketing Companies standards. In order to encourage the establishment of production units, subsidies will be given.
Eleventh (10) Miscellaneous: The policy places a strong emphasis on adhering to environmental laws, rules, and directives. The Chief Secretary will serve as the chair of a powerful committee that oversees and manages the execution of policies. Budgets for promotion at the district level and financial support for project management units are also mentioned.
Conclusion
The Uttar Pradesh State Bio-Energy Policy-2022 is a comprehensive strategy that supports a variety of bio-energy sources and is in line with objectives for rural economic development and environmental sustainability. The goal of the policy is to establish a favorable environment for the starting and expansion of Bio-Energy businesses in the state by addressing different waste streams and offering incentives. The focus on obtaining technology approval and meeting environmental regulations shows a dedication to ethical and sustainable Bio-Energy practices. This policy’s success depends on its efficient execution, ongoing oversight, and the cooperation of many stakeholders.
Disclaimer: The views and opinions expressed in the article by Dilip Patil, Managing Director of Samarth SSK Ltd., are solely his own.