Biomass is one of the most plentiful and well-utilized sources of renewable energy in the world. The term “biomass” refers to organic matter that has stored energy through the process of photosynthesis. Many of the biomass fuels used today come in the form of wood products, dried vegetation, crop residues, and aquatic plants. Biomass has become one of the most commonly used renewable sources of energy in the last two decades, second only to hydropower in the generation of electricity. It is such a widely utilized source of energy, probably due to its low cost and indigenous nature, that it accounts for almost 15% of the world’s total energy supply and as much as 35% in developing countries, mostly for cooking and heating.

The sugar production process releases a valuable byproduct known as Bagasse. Basically it is a fibrous material that remains behind after the crushing of sugar cane. Bagasse has good calorific value and burns very easily. The sugar industry requires electricity and steam in the production process. Here bagasse is being burnt in boilers to produce steam for its use in the process and turbine generator for power generation. After self-consumption, the surplus electricity is available for sale to the grid. This is also referred to as bagasse based cogeneration.

TCSPL team has actively evaluated transactions in Biomass / Co-generation sector in several countries in South Asia, South East Asia & Africa.

Our services for biomass and co-generation (bagasse) based power developers:

Equity

• Project equity fund raising (at SPV level)
• Private equity fund raising (at Holding company level)
• Divestment – partial or complete

Debt

• Limited recourse / Non recourse based Project Finance in USD / EUR / Local Currency
• Term Loan
• ECA financing for imported equipment / machinery
• Refinancing of existing loans

Mezzanine

• Short term structured debt finance
• Cost overrun / Project completion fund raising

Others

• Arranging credit guarantee for debt