ETO seeks VGF from Union government to encourage biomass power plants producing power from stubble

Demands subsidy for solar pumps of 15 HP and above*

*Raises issues related to Punjab during conference of Power and New and Renewable Energy Ministers*

New Delhi/Chandigarh, November 06

Punjab Power Minister Harbhajan Singh ETO has sought Viable Gap Funding (VGF) from the Union Government for Punjab so that the biomass power plants producing power using paddy straw can be encouraged in the state to check the practice of stubble burning by the farmers.

While participating in the Conference of Power and New and Renewable Energy Ministers in New Delhi today, the Punjab Power Minister the total cost of conventional power with the cost of Renewable Energy Certificates for Renewable Purchase Obligation (RPO) compliance is much lower than the tariff of Biomass power plants which is around Rs 8/kwh. He said that VGF needed to be provided by GOI to Punjab in order to make procurement of power from biomass power plants competitive for distribution companies (DISCOMs).

ETO also sought permission to use coal from the Pachhwara coal mine by private thermal plants of Punjab. He said that this permission should be granted as the entire cost of coal being received from the Pachhwara coal mine is being borne by the consumers of the state.

Raising another issue related to the farmers of the state, Harbhajan Singh ETO said that the provision of 30 percent subsidy on the irrigational solar pump is for pumps of 7.5 Horse Power (HP) only, whereas, in Punjab pumps of 15 HP and above are being used for irrigation. He said that the current subsidy should be extended for irrigational solar pups of 15 HP or above to encourage the farmers to make maximum use of this renewable energy.