Start Biomass Business in Madhya Pradesh | Tax-Free Profits Ebook

This ebook is a practical guide for entrepreneurs looking to start a biomass pellet or briquette business in Madhya Pradesh. It explains how to convert agricultural waste into profitable green energy, while leveraging 100% income tax exemption, MNRE subsidies, and MP Biofuel Policy benefits. Covering plant setup cost, raw material sourcing, ROI, and thermal power plant demand, the ebook offers step-by-step insights to build a sustainable, high-return waste-to-wealth business in MP.

. New Year Special Gift .

Why Biomass is the Big Green Business in Madhya Pradesh

The shift toward renewable energy has turned agricultural waste into valuable “green gold.” Madhya Pradesh, rich in paddy straw, mustard husk, soya waste, and forest biomass, offers a strong foundation for the biomass pellet and briquette business. Backed by mandatory biomass usage in thermal power plants, attractive MNRE and state subsidies, and long-term tax benefits, demand is rising much faster than supply. This creates a rare waste-to-wealth opportunity for entrepreneurs.

This ebook explains how to start a profitable biomass business in Madhya Pradesh, covering plant setup, subsidies, ROI, and market access in a clear, step-by-step manner.

Briquettes vs Pellets: Understanding the Right Product

Biomass fuel is mainly produced in two forms:

Biomass Briquettes
Large compressed blocks used in industrial boilers and heating systems.
Biomass Pellets
Small cylindrical fuels preferred by thermal power plants due to uniform size and easy handling.
- Non-Torrefied Pellets
- Torrefied Pellets

The ebook helps you decide which option suits your budget and target market.

Rising Demand Driven by Government Mandates

Biomass demand is not optional—it is mandatory.
The Government of India has directed coal-based thermal power plants to use:

5% biomass blending in 2024–25
7% biomass blending in 2025–26

India’s daily biomass demand is around 95,000 tons, while production is only 8,000–10,000 tons.
This massive gap creates a golden opportunity for suppliers in Madhya Pradesh, especially near plants like:

Vindhyachal Super Thermal Power Station
Satpura Thermal Power Station

Subsidy, Tax Benefits & Profit Potential

Biomass is declared a Thrust Sector, offering strong financial benefits:

Major Benefits Covered in the Ebook:

100% Income Tax Exemption (Section 80JJA) for 5 years
MNRE Capital Subsidy
- ₹21 lakh per MTPH (Non-torrefied)
- ₹42 lakh per MTPH (Torrefied)
AIF Loan Support
- 3% interest subsidy
- Loan up to ₹2 Crore
MP Biofuel Policy 2025 Benefits
- Up to 40% investment subsidy
- 100% electricity duty exemption (10 years)
- 50% stamp duty rebate