Centre Issues New Policy on MSW Charcoal Co-Firing in Thermal Plants

Centre Introduces New Policy for Co-Firing MSW-Based Charcoal in Thermal Power Plants

The Union Government has released a new policy framework mandating the co-firing of biomass pellets and municipal solid waste (MSW)–derived torrefied charcoal in coal-fired thermal power plants across the country. The policy seeks to address the twin challenges of excess agricultural residue and unmanaged urban waste while reducing emissions in line with national clean energy and climate commitments.

Blending Norms and Coverage

Under the new directive, all thermal power plants in the Delhi–NCR region must co-fire 5% biomass pellets along with 2% MSW or biomass-based torrefied charcoal starting from 2025–26. Plants outside the NCR must blend 5% biomass or MSW-derived charcoal with coal. This policy nullifies earlier guidelines and expands the scope to include torrefied charcoal produced from municipal waste.

Availability of Feedstock and Mandated Usage

India’s abundant agricultural residue and increasing urban waste generation form a key basis for the policy. NCR power plants are specifically required to use crop residue–based pellets , especially from paddy straw and stubble. A multi-agency panel will evaluate exemption requests under exceptional circumstances.

Technological Feasibility and Industry Concerns

While public sector units have demonstrated operational feasibility through past co-firing initiatives, private players remain cautious. They point to challenges such as chlorine-rich MSW feedstock, inconsistent calorific values, corrosion risks, slag formation and the possibility of toxic emissions like dioxins and heavy metals. These concerns highlight the need for upgraded emission monitoring and strict fuel quality standards.

Strengthening Waste and Biomass Ecosystems

Experts stress that without effective waste segregation, quality control and a stable supply chain, problems seen in waste-to-energy plants may reoccur. Building a robust ecosystem—similar to national biomass procurement missions—will be crucial for successful implementation.

Exam-Oriented Facts

• Blending Norms (NCR): 5% biomass + 2% MSW/biomass torrefied charcoal

• India generates ~1.5 lakh tonnes of municipal waste per day

• Cost pass-through allowed under Section 62/63 of Electricity Act, 2003

• Torrefied charcoal = controlled heating of biomass/MSW

• Policy aims to reduce stubble burning and urban waste load