Govt. of Gujarat has announced Incentive Scheme for baggase based cogeneration plant in February 2001.

Any Sugar Mill / Promoter / Developer indenting to set up baggase based cogeneration plant having surplus power available in addition to the captive requirement of the Sugar Mill can sell surplus electricity generated to GEB at a rate of Rs.2.25 per unit with 94-95 as base year and 5% escalation every year for a period of 10 years from the date of commissioning of the project. This means that for a project commissioned in 2003-04, the sale price of surplus electricity to GEB would be Rs.3.49 per unit. Transmission lines required for evacuating power from cogeneration plant to the nearest grid sub station shall be built by the concerned cogeneration plant.

Gujarat Energy Development Agency would function as a Nodal Agency for implementation of the Incentive Scheme.

For further details, please contact Director, GEDA, Vadodara, Gujarat.