ClimatePartner logo

Energy from rice husks instead of coal


India, Siltara
ClimatePartner ID: 1231
BiomassGet to know the project

Located at Siltara in the Raipur district in the state of Chattisgarh, the company Shree Nakoda Ispat Limited produces different iron commodities like billets and sponge iron. Before the project started, less than half of the electricity consumed by the factory was generated at an in-house 6 MW waste heat recovery (WHR) based power plant, while the remaining power was drawn from the grid. With an expansion in production due to the growing demand for their products, the company's energy consumption grew from 8 MW to nearly 18 MW. As it was not possible to increase power supply from the existing WHR plant, the company had the options of drawing more electricity from the fossil fuel-dominated state grid or to generate coal-based power in-house. Instead, they decided to install an in-house biomass-based power generation plant, aiming at becoming independent from the grid.

The biomass used at the power plant mainly consists of rice husks from local farms. Chhattisgarh is called the “Rice Bowl of India” due to a large paddy growth in the state, which ensures a consistent supply of rice husk throughout the year.

How biomass projects help contribute to climate action

Biomass refers to organic residues such as tree branches, leaves, sawdust, wood chips or coconut shells. Those are of a biogenic, non-fossil nature that can be used to generate renewable energy. One way to generate renewable energy, among others, is to fire kilns using biomass. This process prevents harmful smoke and large quantities of CO2 to be released.

As an additional greenhouse gas reduction measure, biomass climate projects mostly prevent biomass from rotting in the open air, so that no methane (CH4) is released. Biomass projects in the ClimatePartner portfolio are registered with international standards.

The project aims to contribute to these United Nations Sustainable Development Goals (SDGs).

No Poverty
Affordable and Clean Energy
Decent Work and Economic Growth
Climate Action
The project aims to contribute to these United Nations Sustainable Development Goals (SDGs).
Project facts

Climate projects generally fall into one of three groups: carbon reduction, carbon removal, or carbon avoidance. Carbon reduction projects reduce the amount of greenhouse gas emissions produced by a specific activity (e.g., improved cookstoves). Carbon removal projects remove carbon from the atmosphere by sequestering it in carbon sinks (e.g., reforestation). Carbon avoidance projects avoid greenhouse gas emissions entering the atmosphere (e.g., protecting forests from deforestation with REDD+ projects).

All climate projects are based on international standards. They set processes and requirements which carbon projects must fulfill to be recognised as a proven method of reducing carbon emissions.

Climate projects demonstrably reduce, remove, or avoid greenhouse gas emissions. This is achieved with various technologies, ranging from nature-based solutions to social impact projects and renewable energies.

Climate projects go through third-party validation and verification. Verification happens regularly after each monitoring period. A validation and verification body checks and assesses whether the values and project activities stated in the monitoring report are correct and verifies them. As with validation, visits to the project site are often part of the process.

Climate projects go through third-party validation and verification. Validation happens early in the project life cycle and ensures that the project design is in line with current processes and requirements. This phase often also involves field visits with on-site interviews and analyses. Auditors are accredited, impartial assessors who have to be approved as a validation and verification body (VVB) by the standards body.

This figure shows the estimated annual emissions reductions calculated before the project started. Actual reductions in each monitoring period may differ. To be registered as a climate project, the project developer must submit the estimate using the ex-ante methodology in a Project Design Document (PDD), which is similar to a business plan, and an independent auditor validates it. In each monitoring period, the developer recalculates the figures based on the project’s actual performance and documents them in a monitoring report, which independent auditors then verify. VERs are only issued for reductions that have actually taken place.
ClimatePartner logo© 2026 ClimatePartner GmbH
Follow us
InstagramNewsletterLinkedIn