With MSMEs at the heart of India’s industrial output, he emphasised that their transition to renewable thermal energy is critical.
Shripad Yesso Naik, Union Minister of State for New and Renewable Energy and Power, has emphasised that technology alone cannot drive India’s transition to bioenergy, calling for close collaboration across the entire value chain. This includes a cohesive effort involving farmers and Farmer Producer Organisations (FPOs) supplying biomass to aggregators, logistics providers, boiler manufacturers, energy service companies, financiers and regulators.
Delivering the keynote address at a national workshop on ‘Introduction and Adoption of Biomass for Green Steam and Heat Applications in MSMEs’ in New Delhi on Friday, Naik said, “Bioenergy today extends far beyond electricity generation and contributes simultaneously 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 is, therefore, essential.
“MSMEs require confidence in fuel availability, pricing stability, operational reliability and supportive policies,” Naik added.
He stressed that biomass‑based green steam and heat solutions offer a practical, scalable and India‑specific pathway. “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.”
Naik 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.
Santosh Kumar Sarangi, Secretary, Ministry of New and Renewable Energy, 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.”
The workshop was organised by the Ministry of New and Renewable Energy in collaboration with the German Agency for International Cooperation (GIZ) and Grant Thornton Bharat. Naik also jointly released the report titled Decarbonising MSMEs: Use of Biomass for Green Steam and Heat Application.