The Ahmedabad Municipal Corporation has sent a proposal to the state government for entering into a power purchase agreement with two firms that have signed a contract with the AMC for converting domestic garbage into energy. The AMC stated that the Gujarat Electricity Regulatory Commission (GERC) has approved the rate of Rs 7.03 per unit for one company and Rs 7.07 per unit for the other. At least three firms had sent a petition to GERC for the approval of Rs 7 per unit tariff.

Pravin Patel, the chairman of the standing committee of the AMC, said: "The AMC has entered into a contract with two firms and each firm will generate 1,000 MT of garbage. These firms will gradually increase the capacity and will utilize around 1,200 MT of garbage." He said that the AMC had given 13 acres of land to Abellon Clean Energy and 14 acres to JITF urban infrastructure limited.

Mukesh Kumar, the municipal commissioner, said that the GERC has approved the rate of Rs 7.03 per unit for Abellon and Rs 7.07 per unit for JITF. At present, AMC areas generate 3,600 MT of waste of which 2,000 metric tonnes will be used by Abellon and JITF. The AMC is already converting 1,300 MT of garbage and 500 MT of construction and demolition waste is also being recycled. Kumar said that these projects would take care of the waste generated daily. He four proposals had been drawn for Pirana the AMC was working on them. He said that at present the two firms would generate around 25 megawatts of power each.

Officials in the AMC said that power generation would begin once the agreement was signed. The officials said that according to the Centre's policy, power will be purchased at around Rs 7 per unit and the central government will subsidize the purchase. He said that the state government had already adopted the policy. The AMC will not incur any burden for setting up these power generation units. According to the state government's Waste to Energy Policy-2016, Gujarat has the potential to generate approximately 100 MW of power from solid waste. The potential has been assessed for eight municipal corporations and 162 municipalities.

Source: March 21, 2017, The Times of India