Punjab gives thrust to green fuel industry

In a bid to deal with the problem of paddy straw burning and to produce biofuel, pelletisation plants are being set up across Punjab.

These plants convert straw into biofuel for industrial use.

So far, 16 pellet-making plants are operational across Punjab, with 21 more expected to be functional by November.

The plants are a key component of the state’s strategy to reuse paddy straw.

Sukhbir Singh, environmental engineer and nodal officer of the Biomass Pellet Eco-System of the Punjab Pollution Control Board (PPCB), said to further support the initiative, the Central Pollution Control Board had allocated Rs 50-crore subsidy for setting up pelletisation units. So far, Rs 12.37 crore of the amount has been availed by the industry.

With the paddy harvesting season set to begin in the third week of September, the PPCB is claiming to have ramped up its efforts to manage paddy residue.

A major thrust is on ex-situ management. This involves transporting and using paddy straw for industrial applications, rather than the conventional in-situ management.

The growing infrastructure is expected to boost pellet production significantly. There are projections of up to 7 lakh metric tonnes (LMT) of straw being used for making pellets this year.

In 2023, around 11.08 LMT of paddy straw was utilised in boilers, especially in steam generation for industrial use and electricity production.

"Paddy residue, once deemed waste, is now coming up as an allied industry and progressive farmers are understanding the potential of it," said Chief Environmental Engineer, PPCB, Krunesh Garg.

"Straw management has opened up new business avenues, offering significant returns," said Garg.

According to PPCB estimates, 19.52 million metric tonnes (MMT) of paddy residue is expected to be generated this year. The government aims to manage 12.70 MMT of this through in-situ methods. This involves ploughing the residue back into the soil, reducing the need for burning.

Last year, 3.66 MMT of paddy residue was utilised through ex-situ management. However, this year the state government aims to nearly double that figure, targeting 7 MMT of paddy straw for use in industries such as thermal power plants and boiler units.

According to Garg, 36 new industries are setting up boilers to consume an extra 11.28 LMT residue. Besides, sugar mills and milk plants having industrial boilers are being encouraged to use paddy straw as fuel.

He said there was a proposal to provide 50 existing industries with cumulative fiscal incentives of Rs 26 crore on a first-come, first-served basis, for using paddy straw as fuel in boilers