Bioenergy will play a decisive role in India’s clean energy transition, particularly in reducing carbon emissions from the MSME sector, Union Minister of State for New and Renewable Energy and Power, Shripad Yesso Naik, said today. He 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 (MNRE) in collaboration with the German Agency for International Cooperation (GIZ) and Grant Thornton Bharat.
On the occasion, the Minister jointly released the MNRE–GIZ report titled “Decarbonizing MSMEs: Use of Biomass for Green Steam and Heat Application”, which outlines a sector-specific roadmap for adopting biomass-based green heat and steam solutions across Indian industry.
Highlighting India’s renewable energy progress under the leadership of Prime Minister Narendra Modi, Naik said bioenergy has evolved from a marginal option to a strategic pillar of the country’s clean energy ecosystem. He noted that beyond electricity generation, bioenergy contributes significantly to energy security, rural livelihoods, waste management, pollution reduction and climate action.
The Minister underscored the urgency of industrial decarbonisation, pointing out that MSMEs account for nearly one-third of India’s manufacturing output and rely heavily on fossil fuels such as coal, furnace oil and pet coke for their process heat requirements. Transitioning MSMEs to renewable thermal energy, he said, is critical for achieving national climate goals.
Emphasising the potential of biomass-based green steam and heat solutions, Shri Naik said India’s abundant agricultural residue, animal waste and municipal solid waste offer an India-centric, scalable pathway to convert waste into value, reduce emissions and create additional income opportunities for farmers and rural entrepreneurs. He highlighted government initiatives such as the National Bioenergy Programme, SATAT and GOBARdhan, which promote biomass briquettes and pellets, industrial applications, decentralised solutions for MSMEs and linkages with the National Green Hydrogen Mission.
Referring to the report released at the workshop, the Minister said it provides a data-driven framework for sectors such as textiles, food processing, chemicals, foundries and pharmaceuticals. The report identifies key policy and market enablers, including biomass deployment obligations, standardised steam supply agreements, biomass exchanges and stronger supply-chain coordination, making it a valuable reference for policymakers, industry and financial institutions.
The Minister stressed that technology adoption must be supported by collaboration across the value chain—from farmers and FPOs supplying biomass to aggregators, logistics providers, boiler manufacturers, energy service companies, financiers and regulators. He noted that confidence in fuel availability, price stability, operational reliability and enabling policies is essential for MSMEs, and said platforms like this workshop help build trust and accelerate adoption.
Secretary, MNRE, Santosh Kumar Sarangi, highlighted that biomass-based solutions have nationwide applicability, ranging from municipal solid waste-to-energy projects and compressed biogas to decentralised biogas plants in rural areas. He said such solutions support livelihoods, promote decentralised energy access and strengthen rural value chains, making bioenergy a cornerstone of India’s clean energy transition.
The Secretary added that the MNRE–GIZ report brings out the strong potential of biomass-based industrial heat and steam applications across textiles, food processing, metals and artisan-based industries, while remaining adaptable for both large-scale and decentralised use. He emphasised 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. Calling for deeper international collaboration, particularly with Germany, he encouraged greater engagement on advanced boiler technologies to accelerate adoption across Indian industry.
The workshop was attended by senior officials from MNRE, representatives of the German Embassy and GIZ, industry leaders, MSMEs, financial institutions, State Governments, technology providers and knowledge partners.
