The Budget 2023 has been much anticipated by those in the renewable energy industry, and early indications suggest that the government will be putting a sharp focus on green growth. This renewed emphasis on sustainability could be the much-needed boost that the bio energy sector needs to reach its full potential.
Green found prominence in the Union Budget 2023-24 that finance minister Nirmala Sitaraman presented on Wednesday, January 31, in parliament. Green growth – from green credits to green energy to green mobility to green farming – was among the seven main priorities that made it to the Budget this year.
The budget rightly focussed on providing boost to economic growth by providing a 33% increase in capital expenditure budget to Rs 10 lakh crore. This will facilitate and channelise private sector investments into the key infrastructure sectors.
Bio energy, which involves using biomass to produce heat, electricity, and fuels, is an important part of India’s renewable energy mix. While India has made significant progress in developing renewable energy sources such as solar and wind, the bio energy sector has lagged behind due to a lack of investment and policy support.
However, the government’s renewed focus on green growth could provide the impetus for the bio energy sector to grow and thrive. According to reports, the government is considering a range of measures to promote bio energy, including tax incentives for investors, subsidies for farmers who grow biomass, and funding for research and development.
One area that the government is expected to focus on is the use of biomass for power generation. Biomass power plants can use a range of feedstocks, including agricultural residues, forestry waste, and energy crops, to produce electricity. The government is expected to promote the development of small-scale biomass power plants, which can provide decentralized power generation in rural areas.
Another area where the government is expected to support the bio energy sector is in the production of biofuels. Biofuels, which can be used as a substitute for fossil fuels in transportation, are a key area of focus for many countries as they seek to reduce their carbon footprint. The government is expected to provide support for the development of biofuels, including investment in research and development, as well as incentives for producers.
The government’s renewed focus on green growth is a welcome development for the bio energy sector, which has long been overlooked in India’s renewable energy mix. By providing the necessary policy support and funding, the government can help to unlock the potential of the bio energy sector, and promote the sustainable use of biomass for energy.
The Budget 2023 is expected to herald a much-needed boost for the bio energy sector in India. By putting a sharp focus on green growth and promoting the use of biomass for energy, the government can help to create new opportunities for investors, farmers, and researchers, while also reducing the country’s carbon footprint. With the right policy support and funding, the bio energy sector can become an important part of India’s sustainable energy mix, and help to drive the country towards a greener, more sustainable future.
