IMARC Group’s report titled “India Biomass Gasification Market: Industry Trends, Share, Size, Growth, Opportunity and Forecast 2023-2028“. The India biomass gasification market size reached 22.4 TWh in 2022. Looking forward, IMARC Group expects the market to reach 28.2 TWh by 2028, exhibiting a growth rate (CAGR) of 3.7% during 2023-2028.

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Factors Affecting the Growth of the India Biomass Gasification Industry:

  • Government Initiatives and Support:

The increasing support from government initiatives and policies represents one of the key factors impelling the market growth in India. The Government of India is implementing a variety of incentives and support mechanisms, recognizing the potential of biomass to contribute to the energy mix of the country. These include capital subsidies, tax holidays, and preferential tariffs for bioenergy projects. These initiatives are designed not only to encourage energy production but also to tackle rural energy poverty and reduce the hefty reliance on imported fossil fuels. These policies are instrumental in attracting investment, encouraging technological innovation, and facilitating the development of a skilled workforce in the bioenergy sector.

  • Abundance of Biomass Resources:

The country generates a massive amount of agricultural residues like rice husk, straw, sugar cane bagasse, and coconut shells. This abundant availability of raw materials is propelling the biomass gasification industry. These biomass resources are renewable, unlike fossil fuels, widely dispersed across the country, and relatively cost-effective. Moreover, the utilization of these agricultural by-products not only provides a sustainable energy source but also addresses environmental concerns, such as waste management and reduction of greenhouse gas emissions. This dual advantage of energy generation and environmental sustainability positions biomass gasification as an attractive alternative to traditional energy sources, driving its adoption in both rural and urban areas.

  • Rural Electrification and Energy Independence:

The increasing shift towards rural electrification and energy independence is a major factor bolstering the growth of the market in the country. A significant portion of the population, particularly in rural areas, still needs access to reliable electricity. Biomass gasification offers a decentralized and viable solution to this challenge, enabling rural communities to generate their power using locally available biomass resources. This not only helps in alleviating energy poverty but also reduces the load on the national grid. India is focusing on reducing its reliance on foreign energy sources, thereby enhancing its energy security by harnessing local biomass for gasification. The deployment of biomass gasification systems in rural areas also fosters local economic development, generates employment, and leads to technology transfer, further strengthening the market growth.

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India Biomass Gasification Market Report Segmentation:

By Source:

  • Solid Biomass
  • Biogas
  • Municipal Waste
  • Liquid Biomass

Solid biomass accounts for the majority of the market share due to its abundant availability from agricultural residues and wood.

Regional Insights:

  • North India
  • West and Central India
  • South India
  • East India

Region-wise, the market has been divided into North India, West and Central India, South India, and East India.

India Biomass Gasification Market Trends:

At present, converting agricultural and municipal waste into energy via gasification is gaining traction due to the growing emphasis on sustainable waste management. This approach not only provides a renewable source of energy but also addresses the mounting issue of waste disposal in urban and rural areas. The synergy between waste management and energy generation is recognized by policymakers and industry players, leading to innovative projects that combine waste-to-energy technologies with biomass gasification, thereby creating a more circular economy and sustainable environment.

The rising involvement of public-private partnerships (PPPs) is crucial in overcoming the financial and infrastructural challenges associated with setting up biomass gasification plants. PPPs facilitate the pooling of resources, expertise, and risks between the government and private entities, leading to more efficient and scalable projects. This model is particularly effective in attracting investment and ensuring the sustainable operation of biomass gasification facilities.

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