Kundan Green Energy, a Kundan Group subsidiary, has acquired a waste-to-energy project of Jabalpur MSW, which has an installed capacity of 11.5 MW.

Kundan Green Energy invested nearly ₹650 million (~$7.5 million) in the project. It expects to generate a revenue of ₹350 million (~$4 million) and earnings before interest, taxes, depreciation, and amortization of over ₹ $200 million (~$2.3 million).

The project, which was earlier managed and operated by Essel Group, can process 450 tons (+/-10%) of municipal waste daily.

The acquisition was completed under the Insolvency and Bankruptcy Code through a process initiated by the State Bank of India.

Jabalpur Municipal Corporation will provide the raw fuel for the project’s operations. The energy generated will be fed directly into the state electricity grid.

The project aims to decrease the waste accumulation in Jabalpur’s landfill sites.

Udit Garg, Managing Director, Kundan Green Energy, said the acquisition aligns with the company’s target of achieving 300MW by 2027.

Kundan Green Energy focuses on hydropower, wind, and solar projects. It has commissioned solar projects with a capacity of 17.5 MW and hydro projects with a capacity of 86 MW.

Several other companies are investing in the waste-to-energy sector. In October last year, Indian Oil Corporation entered a joint venture agreement with EverEnviro Resource Management to convert organic waste into compressed biogas.

In September, another government-owned company, Bharat Petroleum Corporation (BPCL), announced a joint venture with Sembcorp Green Hydrogen India and Bengaluru-based GPS Renewables to develop compressed biogas (CBG) projects. BPCL plans to construct, operate, and maintain CBG projects across India and sell the gas and its derivatives to meet its CBG blending obligation mandate.

In 2023, the Ministry of New and Renewable Energy announced that it would implement 90 projects under its waste-to-energy program. The project had a budget outlay of ₹ $6 billion (~$63.9 million) for the financial years 2021-22 to 2025-26.