The ministry of new and renewable energy (MNRE) has unveiled revised guidelines for its Waste-to-Energy (WtE) Programme under the National Bioenergy Programme, aiming to simplify procedures, enhance transparency, and link financial support to the actual performance of energy plants.According to a statement from the ministry, the new framework is designed to “foster a more efficient, transparent, and performance-oriented ecosystem for Bio Waste to Energy deployment in India”.As per news agency ANI, one of the most significant changes is the overhaul of the Central Financial Assistance (CFA) disbursement process. Earlier, companies had to wait until their plant achieved 80% of its rated generation capacity to receive CFA. Under the new rules, the support will now be released in two stages: 50% of the total CFA will be given once the Consent to Operate certificate is issued by the respective State Pollution Control Board and submitted with a bank guarantee. The balance will be released once the plant reaches 80% of its rated or eligible capacity, whichever is lesser.Importantly, if the plant fails to reach the 80% generation benchmark, a pro-rata CFA will be provided, calculated on the basis of actual output, provided the Plant Load Factor (PLF) exceeds 50%. No assistance will be granted for plants performing below that threshold.These changes are expected to particularly benefit MSMEs by reducing procedural bottlenecks, cutting down paperwork, and easing approval processes, thereby supporting higher production of Compressed Biogas (CBG), biogas and power.The updated guidelines are also expected to contribute to India’s waste management goals, including handling agricultural stubble and industrial waste, while helping the country progress towards its 2070 net-zero emissions target.The inspection process has also been streamlined. Joint inspections will now be conducted by the National Institute of Bio-Energy (SSS-NIBE)—an autonomous institute under MNRE—along with one agency among State Nodal Agencies, Biogas Technology Development Centres, or MNRE-empanelled bodies. For developers not seeking advanced CFA, only one post-commissioning performance inspection will be required, reducing procedural delays.Developers now also have the flexibility to claim CFA within 18 months from the date of commissioning or the date of in-principle approval, whichever is later.The ministry said these measures would make the Waste-to-Energy sector more investor-friendly by aligning financial assistance with plant output and real-time performance.With these sweeping changes, MNRE is betting on a performance-based incentive model that not only strengthens India’s renewable energy ecosystem but also builds a more resilient and sustainable waste management infrastructure.
