Introduction: Why Biomass Briquetting Matters Today
India is on a mission to increase renewable energy adoption and reduce dependency on fossil fuels. One of the fastest-growing opportunities in this sector is biomass briquetting and pellet manufacturing plants. The Ministry of New and Renewable Energy (MNRE) has introduced attractive subsidy for biomass briquetting plant in India, giving entrepreneurs and industries financial support to set up eco-friendly projects.
But while the scheme is promising, the process of securing financial aid is not always straightforward. That is where Finraja Consultancy Private Limited plays a crucial role — helping businesses understand eligibility, handle documentation, and maximize benefits without delays or compliance risks.
Understanding the Biomass Subsidy Programme
The subsidy comes under the National Bioenergy Programme (2021–2026), which supports:
- Setting up biomass briquette and pellet manufacturing plants.
- Non-bagasse biomass-based cogeneration projects in industries.
- Financial aid in the form of Central Financial Assistance (CFA).
Financial assistance available under the programme is as follows:
- Briquette/ Pellet Manufacturing plants: Rs. 9 Lakh per MTPH (metric ton/hour) manufacturing capacity (maximum CFA of Rs 45 Lakhs per plant)
- Biomass (Non-bagasse) cogeneration projects: Rs. 40 Lakhs/MW (on Installed Capacity) (maximum CFA of Rs. 5 Crores per project)
This makes the biomass briquetting plant subsidy a vital push for investors and industries interested in renewable energy. However, due to evolving rules and performance-based guidelines, professional assistance is essential to navigate the application successfully.
Why the Subsidy is a Game-Changer
- Financial Relief – Establishing a plant involves high capital costs. With a biomass pellet plant subsidy, businesses can reduce upfront investment and achieve quicker ROI.
- Government Backing – Projects supported by MNRE gain credibility, which helps in financing and partnerships.
- Sustainability Goals – Industries using renewable energy earn goodwill, meet compliance norms, and reduce carbon footprint.
- Competitive Advantage – Lower production costs help in better market pricing for biomass briquettes and pellets.
Cost Considerations: Biomass Plant Setup
A common query is about the biomass briquette plant cost. While costs vary depending on scale and technology, investors often explore:
- Machinery investment – The biomass briquetting machine price in India can range from a few lakhs to crores, depending on capacity and automation.
- Operational expenses – Raw material procurement, labour, and energy usage.
- Infrastructure costs – Land, utilities, and compliance certifications.
With subsidies, a significant portion of these expenses can be offset. However, determining how much CFA you qualify for requires expert evaluation.
MNRE Biomass Subsidy: Central Financial Assistance (CFA)
The MNRE offers Central Financial Assistance for biomass projects, but it comes with specific eligibility and performance-linked criteria.
Some highlights include:
- Subsidy amount varies depending on plant size, region, and technology.
- Plants must achieve a certain capacity utilization factor (CUF) to get full disbursement.
- Inspections and compliance reports are mandatory.
Without proper guidance, many businesses struggle to meet these benchmarks, resulting in partial or delayed subsidy release.
The Application Challenge: Why Expert Guidance Matters
Many businesses search online for how to apply for biomass briquette subsidy, but the reality is:
- The process involves multiple documentation steps, performance evaluations, and approvals.
- MNRE and state-level compliance requirements change frequently.
- Small errors in forms or delays in inspections can lead to rejection or reduced financial assistance.
That is why handling it independently often creates more challenges than solutions. Instead of trying to decode every clause yourself, working with Finraja Consultancy ensures you:
- Save time and avoid unnecessary paperwork.
- Get end-to-end support from evaluation to approval.
- Maximize subsidy eligibility without compliance risks.
Why Choose Finraja Consultancy?
At Finraja Consultancy Private Limited, we specialize in subsidy advisory across multiple industries. For biomass briquetting and pellet plant subsidies, we provide:
- Eligibility Assessment – Detailed evaluation of your project to check maximum subsidy you can claim.
- Documentation & Compliance Support – Ensuring every required report, certification, and agreement meets MNRE standards.
- Application Filing & Liaison – Handling the entire process with government agencies, minimizing chances of rejection.
- End-to-End Advisory – From financial planning to subsidy release, we stay with you at every step.
Our expertise ensures your subsidy for biomass briquetting plant in India is not just applied for, but successfully approved and disbursed.
Future of Biomass in India
The demand for sustainable energy alternatives is only growing. With rising fossil fuel costs and strict environmental regulations, biomass briquetting and pellets are expected to play a major role in India’s energy mix. Backed by subsidies, this sector offers both economic opportunity and environmental responsibility.
If you are planning to set up a biomass briquetting or pellet plant and want to leverage the government subsidy, do not navigate the process alone.
Contact Finraja Consultancy today for expert guidance on:
- Maximizing subsidy benefits
- Smooth application approval
- Hassle-free documentation & compliance
Call us now: +91 9373114747 or visit: finraja.com/contact for quick assistance.
