changeadminIndia’s Minister of State for New and Renewable Energy and Power, Shripad Yesso Naik, highlighted the pivotal role of bioenergy in India’s clean energy transition, particularly in decarbonising industrial process heat in the Micro, Small and Medium Enterprises (MSME) sector.
The Minister was delivering the keynote address at a national workshop on’ Introduction and Adoption of Biomass for Green Steam and Heat Applications in MSMEs’, organised by the Ministry of New and Renewable Energy in collaboration with the German Agency for International Cooperation (GIZ) and Grant Thornton Bharat.
On the occasion, the Minister also jointly released the report titled “Decarbonising MSMEs: Use of Biomass for Green Steam and Heat Application”.
Mr Naik said that under the leadership of Prime Minister Narendra Modi, India’s renewable energy journey has witnessed unprecedented momentum over the past decade, with bioenergy emerging from a peripheral role to become a strategic pillar of the country’s clean energy transition.
The Minister noted that bioenergy today extends far beyond electricity generation and simultaneously contributes to multiple national priorities, including energy security, rural livelihoods, waste management, pollution reduction, and climate action.
Highlighting the challenge of industrial decarbonisation, particularly in the MSME sector, he pointed out that while MSMEs contribute nearly one-third of India’s manufacturing output and employ millions, a significant share of their energy demand for steam and heat continues to be met through fossil fuels such as coal, furnace oil and pet coke. Transitioning this segment towards clean and renewable thermal energy, he emphasised, is therefore essential.
Emphasising that biomass-based green steam and heat solutions offer a practical, scalable and India-specific pathway, the Minister said that India’s abundant availability of agricultural residue, animal waste and municipal solid waste presents a unique opportunity to convert waste into value, reduce emissions and generate additional income for farmers and rural entrepreneurs.
He outlined the Government’s integrated approach through initiatives such as the National Bioenergy Programme, SATAT and GOBARdhan, which support biomass briquettes and pellets, non-bagasse-based cogeneration, industrial applications and decentralised solutions tailored to MSMEs, while also strengthening linkages with the National Green Hydrogen Mission.
Highlighting the significance of the report released during the workshop, the Minister said that it provides a data-driven, sector-specific roadmap for adopting biomass-based green heat and steam solutions across industries such as textiles, food processing, chemicals, foundries and pharmaceuticals.
The report also highlights key policy and market enablers, including biomass deployment obligations, standardised steam supply agreements, biomass exchanges, and strengthened supply-chain coordination, and is expected to serve as a valuable reference for policymakers, industry, and financial institutions.
The Minister underlined that technology alone cannot drive transformation and called for close collaboration across the entire value chain, from farmers and FPOs supplying biomass to aggregators, logistics providers, boiler manufacturers, energy service companies, financiers and regulators.
He stressed that MSMEs require confidence in fuel availability, stable pricing, operational reliability, and supportive policies, and noted that platforms such as this workshop are critical for trust-building, knowledge-sharing, and co-creating solutions.
He expressed confidence that the outcomes of the workshop and the insights from the report would accelerate the adoption of green steam and heat solutions across the MSME sector and urged all stakeholders to convert intent into action
Secretary, Ministry of New and Renewable Energy, Mr Santosh Kumar Sarangi, highlighted that biomass-based applications have the potential to be deployed across the country.
From municipal solid waste-to-energy projects and compressed biogas to decentralised biogas plants in rural areas, biomass solutions support livelihoods, promote decentralised energy access and strengthen rural value chains, making bioenergy a critical pillar of India’s clean energy transition, he said.
Referring to the report launched at the event, the Secretary said it highlights the significant potential of biomass-based industrial heat and steam applications across sectors such as textiles, food processing, metals, and artisan-based industries, while remaining adaptable to both large-scale and decentralised use.
He underlined the need to strengthen biomass supply chains, enhance R&D and promote multi-fuel boiler technologies to ensure year-round fuel availability and cost-effective operations for MSMEs.
Emphasising the importance of international collaboration, particularly with Germany, he called for greater engagement on advanced boiler technologies and encouraged MNRE’s scientific and R&D community to expand partnerships and accelerate the adoption of biomass-based solutions across the Indian industry.
The workshop was attended by senior officials of the Ministry of New and Renewable Energy, representatives of the German Embassy and GIZ, industry leaders, MSMEs, financial institutions, State Governments, technology providers and knowledge partners.
Brief Summary of Report on Decarbonising MSMEs: Use of Biomass for Green Steam and Heat Application
The report, jointly developed by the Ministry of New and Renewable Energy and the German Agency for International Cooperation (GIZ), identifies key industries and sectors, such as textile, food processing, chemical, and metallurgical/foundry, that need to adopt green heat and steam using biomass-related solutions.
The report also provides recommendations to promote biomass use in industries, including a Biomass Deployment Obligation, a biomass exchange and trading platform, a specific industrial policy to promote biomass use, and standardising steam supply agreements, to mention a few.
The report provides an overall understanding of where industries stand now in terms of energy consumption and biomass adoption, and what India can do to increase biomass and Green heat and steam adoption.
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