Vedanta Power has increased the use of agricultural residue as fuel at its Talwandi Sabo Thermal Power Plant in Punjab, co-firing around 3.61 lakh metric tonnes (LMT) of biomass during FY2025-26. The biomass accounted for approximately 5.21% of the plant’s total fuel consumption and helped divert large quantities of paddy straw from open-field burning.
The initiative provides an organised route for the collection and utilisation of paddy straw while creating opportunities for farmers and local businesses involved in biomass aggregation, transportation and processing. By converting agricultural residue into fuel, the programme offers an alternative to burning crop waste after the harvest season.
Located in Mansa district, the Talwandi Sabo plant uses a process involving the collection, baling, transportation and processing of paddy straw before it is supplied to the power plant. This has helped establish connections between farmers, biomass suppliers, logistics operators and the energy sector.
The programme is particularly relevant for Punjab, where managing paddy straw remains a major seasonal challenge. In Mansa district, reported stubble-burning incidents during the 2025 harvesting season declined by about 87% compared with 2023. More than 100 villages recorded no farm-fire incidents, while over 28,000 acres of farmland were protected from burning. While several factors contribute to changes in farm-fire numbers, an organised market for agricultural residue can give farmers another option for disposing of paddy straw while generating economic value from the waste.
Rajinder Singh Ahuja, Chief Executive Officer, Vedanta Power, said the biomass programme demonstrates how industrial demand can support a market for agricultural residue. He added that converting paddy straw into fuel addresses the stubble challenge while creating economic opportunities for rural communities.
The initiative has also supported the development of a local biomass supply chain. Collection and aggregation activities provide work for local operators, while transportation and processing create additional economic activity. Farmers can also earn from crop residue that would otherwise have limited commercial value.
Avtar Singh, a farmer from Raipur village in Mansa, said he supplies his paddy straw to biomass manufacturing plants so that the residue can be converted into biomass pellets and used as fuel instead of being burned in fields. The programme also supports the principles of resource recovery and circular economy by converting agricultural waste into a usable energy source. For thermal power generation, biomass co-firing provides an opportunity to use an alternative fuel within existing infrastructure.
Vedanta Power said the experience at Talwandi Sabo highlights the potential for industrial demand to complement government and community initiatives aimed at reducing crop-residue burning. Greater participation from farmers, biomass aggregators, local communities and industry could help develop similar models in other regions facing stubble-management challenges.
