TECHNICAL SPECIFICATIONS FOR AGRO RESIDUE BASED TORREFIED BIOMASS

PELLETS
SN Description
1. About NTPC NTPC Ltd. (A Govt. of India Enterprises), a Maharatna Company, is India’s largest
power generation company with its roots planted way back in 1975 to accelerate
power development in India. Since then it has established itself as the dominant
power major with presence in the entire value chain of the power generation
business. From fossil fuels it has forayed into generating electricity from hydro and
renewable energy sources. The total installed capacity of the company is about
55126 MW (including JVs) with 22 coal based, 7 gas based, 1 Hydro based, 1 small
hydro, 1 wind based, 9 Joint Venture stations (8 are coal based and 1 is gas based)
and 11 renewable energy (Solar PV) projects. NTPC has an ambitious plan to
become 128000 MW plus company by 2032.

2. Introduction Majority of power plants of NTPC is running on coal. To reduce greenhouse gas
emission from its coal based power plants, NTPC intends to utilize paddy straw and
other agro residue based torrefied pellets along with coal for power generation
through biomass co-firing which is a technology recognized by UNFCCC to mitigate
carbon emission.

It is worth mentioning that equivalent amount of CO2 (carbon-di-oxide) emitted from

combustion of agro residue based torrefied biomass pellets in power plant gets
absorbed in next crop cycle by photosynthesis, so CO2 emission from agro residue
based torrefied pellets combustion does not increase CO2 concentration in
atmosphere and thus it is also termed as carbon neutral fuel which is a renewable
source of energy.

Further, CO2 emission from diesel and electricity consumption for agro residue
collection, processing and transportation is very negligible as compared to saving in
CO2 emissions from its utilization in large coal fired power plants having higher
efficiency which makes biomass co-firing a greener alternative.

In addition to reducing carbon emission from coal based power plant, the utilization
of paddy straw and other agro residue based torrefied pellets in the power plant will
also reduce air pollution due to burning of stubble (i.e. paddy straw and other agro
residues) in the fields by farmers which was the trigger for this initiative by NTPC as
a responsible organization.

Stubble burning in fields emits large amount of ash/soot/ unburnt carbon to the
atmosphere which is the real cause of air pollution and elevates the PM 2.5 and PM
10 level in atmosphere. When agro residue based fuel is utilized in coal fired power
plants, it burns completely in power plant and ash emitted from its combustion gets
absorbed in Electro Static Precipitator (ESP) which prevents the air pollution while
generating power from it.

TECHNICAL SPECIFICATIONS FOR AGRO RESIDUE BASED TORREFIED BIOMASS PELLETS

Page 1 of 12
 Based on the feedback received from farmers, it is learnt that farmers burn stubble
as they find it as cheapest, quickest and easiest means to prepare the land for next
crop in view of short time available. Stubble burning in fields also reduces soil fertility
and farmers do not willingly burn stubble but they have no other alternative too.

Therefore, utilization of paddy straw and other agro residues based fuel in form of
torrefied pellets in coal power plants shall create a huge market for it and provide a
quickest, easiest and more economical alternative to the farmer which shall
discourage stubble burning in fields causing air pollution. This shall also generate
employment opportunities and farmer’s income.

3. Intent of The intent of this technical specification is the procurement of agro residue based
Specification torrefied biomass pellets to NTPC Plants (Annexure III) for power generation
through biomass co-firing in pulverized coal fired units with the objective to reduce
carbon emission of coal fired power plant and simultaneously reducing air pollution
by discouraging stubble burning. This will also increase NTPC’s renewable
generation without installing considerable infrastructure in the plant.
4. Scope
4.1 The scope of work under this package shall include supply, loading, transport
and delivery of agro residue based torrefied biomass pellet at NTPC site.

4.2 Unloading shall be in the scope of NTPC Plants (Annexure III) provided
pellets are loose filled in the carriage vehicle. Carriage vehicle should be fully
covered and waterproof during transportation to prevent the material from rain,
sunlight and to prevent dusting.

4.3 If supplier supplies the material packed in bags, consignment shall not be
accepted or supplier shall unload the material at his own cost. In that case, for
any extra halt of carriage vehicle, demurrage shall not be payable by NTPC.

4.4 The torrefied pellets supplied shall adhered to the technical specification given
clause 8 (Table -1).
5. Supply Duration 5.1 A Bidder shall offer to supply Torrefied Biomass pellets on daily basis for
four years.

5.2 However, if due to any reason attributed to NTPC or reason mentioned in

force majeure clause, party is not able to supply allocated quantity of
pellets / torrefied pellets to NTPC, additional three month grace period
corresponding to each one year of supply period shall be provided to party.
Thus, maximum 12 Month grace period shall be given corresponding to
supply period of four years. In this grace period bidder shall be able to
supply leftover quantity out of total allocated quantity of material to NTPC.
6. Delivery start date 6.1 In case of award, the supplier shall start delivery of material after 270 days from
and delivery the issue of purchase order. However, supplier can start delivery even before
address 270 days subject to mutual agreement between NTPC and supplier.

6.2 The consignment of torrefied pellets shall be delivered to following addresses:-

TECHNICAL SPECIFICATIONS FOR AGRO RESIDUE BASED TORREFIED BIOMASS PELLETS

Page 2 of 12
 1. Vindhyachal , Vindhyanagar, Waidhan Road NTPC,Dist:
Waidhan, M.P.-486885
2. Rihand , NTPC Rihandnagar, Dist: Sonebhadra, U.P.-
231223
3. Sipat, PO Ujjwalnagar, Sipat, Darrabhata Road, Bilaspur,
C.G.-495555
4. Korba, Jamnipali, Korba, C.G.-495450
5. Kahalgaon, Satkar Chouck, Kahalgaon, Bihar-813214.
6. Farakka, PO Pubarun, Dist: Murshidabad Farakka, W.B.-
742236
7. Shaktinagar, UP-231222
8. Simhadri NTPC Road, Visakhapatnam Steel Plant,
Andhra Pradesh- 531020
9. Dadri, Vidyutnagar, Dist: Gautambudhnagar, U.P.-
201008
10. Talcher-Kaniha, Angul, Odisha- 759147
11. Unchahar , Dist: Raibareilly, U.P- 229406
12. Ramagundam, P.O. Jyothinagar, Dist: Karimnagar,
Ramagundam, Telangana- 505215
13. Kudgi SH124, Karnataka-586216
14. Lara ,Pussore, Chhapora, C.G.-496440
15. Barh , Bihar- 803213
16. Tanda, Vidyut Nagar, U.P-224238
17. Mouda, Dist: Nagpur, Maharashtra-441104

7. Delivery Schedule 7.1 Default delivery schedule shall be the quantity allocated to supplier for supply
of torrefied pellets on daily basis and the supplier shall deliver that quantity of
torrefied pellets accordingly to NTPC site.

7.2 Although supplier shall supply the torrefied pellets as per default delivery
schedule, however, supplier shall have the flexibility to supply the material in
greater quantity than delivery schedule on mutual consent basis to meet the
annual supply requirement. In such case, supplier shall give one week advance
intimation to NTPC site and site shall give the consent to supply material in
greater quantity after assessing traffic congestion or other aspects as required.

7.3 NTPC can also give reduced delivery schedule to supplier by giving one week
advance notice through official e-mail ID of engineer-in-charge or e-mail ID of
any other person authorized by him and supplier shall dispatch the consignment
accordingly.

8. Technical
Specification Of 8.1 The bidder shall quote the price for torrefied pellets and its GCV (ARB*). The
Torrefied Biomass pellets shall have technical specification as given in following table-1 and shall
pellets submit declaration for the same as per format enclosed at Annexure-I of this
document.

8.2 However, any variation in GCV or Fines %age beyond the limit specified in
technical specification shall be rationalized as per Price and Quantity
Adjustment formula as given in clause-10 and clause-11 of this volume.

TECHNICAL SPECIFICATIONS FOR AGRO RESIDUE BASED TORREFIED BIOMASS PELLETS

Page 3 of 12
 Table: 1 Technical Specification for Torrefied Biomass pellet
SN Technical data Unit Specification for torrefied
pellet
Base material - Agro residue
1
In case of cylindrical shape :

Diameter : Not more than 35 mm

Diameter** mm Length : Random

2
For other shapes:

No dimension should exceed 35 mm.

Fines% (length<3
3 Wt % fines ≤ 5%
mm)(ARB*)
Gross Calorific to be quoted by the bidder
4 Value (GCV-ARB*) kCal/kg
(Not less than 3400 Kcal/Kg)

5 Moisture (ARB*) Wt % Not more than 15%

Hardgrove Grindability - 50 or more
6 Index (HGI)

*ARB – As Received Basis

**During contract period, diameter of torrefied pellets may be revised/modified

based on result of test firing on mutual consent basis without any financial/cost
implication to either NTPC or supplier.

9. Raw Material for 9.1 Base material for pellet manufacturing shall be agro residue which means the
torrefied pellet leftover portion of the agriculture produce such as stubble/straw/stalk/husk of
Manufacturing those agro residue which are surplus and not being used as animal fodder such
as paddy, soya, arhar, gwar, cotton, gram, jawar, bajara, moong, mustard,
seasam, til, maize, sunflower, jute, coffee etc., groundnut shell, coconut shell,
castor seed shell etc., pine needle, elephant grass, sarkanda and horticulture
waste such as dry leaves and trimmings generated during the maintenance and
pruning of trees and plants.

9.2 Agro residue based biomass pellets can be manufactured by mixing single or
multiple base material together.

9.3 Mixing material such as byproduct of wood work factory such as wood chips,
saw dust, furniture waste etc., bagasse, press mud, molasses, bamboo dust
or natural additives/binder such as lignin, starch, and animal dung may also
be used with agro residue in limited proportion to enhance material properties
and same shall be explicitly mentioned by supplier in consignment details.

9.4 Wood obtained from tree cutting shall not be treated as agro residue and shall
be not to be used as base material or mixing purpose whatsoever.

TECHNICAL SPECIFICATIONS FOR AGRO RESIDUE BASED TORREFIED BIOMASS PELLETS

Page 4 of 12
 9.5 NTPC shall reserve the right to exclude any mixing material/additive/ binder
or modify their proportion, if any adverse impact of the mixing
material/additives/binder is found on boiler in long run.

10. Price adjustment Upward or downward pro-rata price adjustment shall be done for GCV
for GCV variation variation of supplied material as per following formula:-

[𝑄𝑢𝑜𝑡𝑒𝑑 𝑝𝑟𝑖𝑐𝑒 × 𝐴𝑐𝑡𝑢𝑎𝑙 𝐺𝐶𝑉 (𝐴𝑅𝐵) ]

𝐴𝑑𝑗𝑢𝑠𝑡𝑒𝑑 𝑝𝑟𝑖𝑐𝑒 =
𝑄𝑢𝑜𝑡𝑒𝑑 𝐺𝐶𝑉 (𝐴𝑅𝐵)

11. Recovery On
Account Of Excess 11.1 Biomass dust, crushed/ broken/ damaged torrefied pellets of length less than
Fines In 3 mm in consignment as received at NTPC site shall be treated as fines and
Consignment there shall be recovery on account of excess fines (ARB) if it is beyond 5%.
The recovery on account of excess fines will be worked out as per the following
formula.
Recovery = (Adjusted price of Biomass pellets) * W * (Actual Weight % of fines -
5%)
“W” - Weight of consignment as received
However, there shall be no additional payment to vendor if fines are less than
5%.
11.2 This amount shall be recovered from the payment of that consignment.

12. Rejection of 12.1 The consignment of torrefied biomass pellets arrived at NTPC shall initially
consignment be tested for following before unloading and shall be rejected in case any of the
parameters exceed the rejection level given in following table-2:-

Table 2: Rejection Level

Technical data Unit Rejection level

Moisture (ARB*) Wt % More than 15%

Hardgrove Grindability Index (HGI) - Less than 48

*ARB – As Received Basis

12.2 Supplier shall supply the agro residue based torrefied biomass pellets of GCV
not less than 3400 kcal/kg. No payment shall be made for already delivered
and consumed material of GCV less than 3400 Kcal/kg.

In case, supplier is found to frequently supply the material of GCV less than
3400 Kcal/Kg or found to take deviations in other technical parameters,
warning letter shall be issued to supplier or contract may also be cancelled if
supplier continues to do so even after issuing warning letter.

TECHNICAL SPECIFICATIONS FOR AGRO RESIDUE BASED TORREFIED BIOMASS PELLETS

Page 5 of 12
 12.3 Material supplied of GCV less than 3400 Kcal/Kg, is liable for rejection and no
payment shall be made for already delivered and consumed material of GCV
less than 3400 Kcal/kg.

13. Torrefied biomass pellets sample shall be tested in the NTPC site lab as per
Testing standard/ following or equivalent standard given in the table-3:-
Method Table 3: Testing and Standard
SN Technical data Testing Standard/Method

1. Diameter ISO 17829 or equivalent method

may be referred.
Fines% (Length< 3 mm) ISO 18846 or equivalent method
2. (ARB) may be referred.
Gross Calorific Value
IS 1350 or equivalent method may be
3. (ARB) referred.
IS 1350 or equivalent method may be
4. Moisture (ARB) referred/ Hand held moisture meter
may also be used.
Hardgrove Grindability ISO 5074 or equivalent method may be
5. Index(HGI) referred.
ARB – As Received Basis

14. Sampling and 14.1 Sampling shall be done by NTPC preferably in the presence of representative
analysis at of the pellet supplier. The samples shall be collected and prepared as per BIS
receiving end norms.
(NTPC site)
14.2 The authorized representatives of NTPC and torrefied pellet supplier shall jointly
witness the process of sample collection and preparation of the laboratory
samples. The representatives shall put their signature on the sample tags in
evidence of the process of sampling. Both- consumer (NTPC) and pellet
supplier - shall also sign on the samples register maintained by the NTPC at the
unloading end.

14.3 For purpose of rejection test, before unloading, samples shall be tested for
moisture and Hardgrove Grindability index (HGI) by NTPC. If any of these
values come out to be more than rejection level as given in clause 12 (Table 2),
the consignment shall be rejected and it shall be the supplier’s responsibility to
carry it back on his own cost.

14.4 For recovery on account of excess fines, NTPC shall arrange for analysis of
fines part of pellets at NTPC site and fines proportion of biomass pellets shall
be analysed at the receiving end and if fines percentage exceeds more than
5%, proportionate recovery shall be done for excess fine as per clause 11.

TECHNICAL SPECIFICATIONS FOR AGRO RESIDUE BASED TORREFIED BIOMASS PELLETS

Page 6 of 12
 14.5 The final laboratory sample shall be divided into 3 (three) parts. Part-1 of
the sample is for analysis of GCV and moisture by NTPC lab at site. Part-2
sample is to be handed over to the pellet supplier for its own analysis. Part- 3
of the sample, called Referee sample, shall be sealed jointly and shall be kept
with NTPC under proper lock and key arrangement.

14.6 The Referee sample shall be preserved for a period of 15 days from the date of
sample collection.

14.7 Mere absence of or failure of participation by any representative of pellet

supplier shall not be a ground to negate the sampling process undertaken.

14.8 NTPC shall communicate the Analysis Results of the sample within 7 working
days of the sample collection to the pellet supplier.

14.9 The pellet supplier may raise dispute, if any, within 07 (seven) days of the
submission of the result by NTPC.

14.10 In case of dispute is raised within the stipulated time period, the Referee
sample shall be analysed in a NABL accredited laboratory as notified by NTPC
time to time, expense of which shall be borne equally by both NTPC and pellet
supplier. Expense borne on supplier part shall be adjusted against payment to
the supplier. NABL accredited laboratory report of referee sample shall be final
and binding on both the parties.

14.11 Dispute raised beyond the stipulated time period shall not be entertained.
14.12 To ascertain rejection parameter, NTPC test shall be sufficient and binding.
Third party testing shall not be applicable for rejection of consignment.

15. Tagging of Each consignment should be accompanied by general details (such as name of
consignment
company/firm/agency, address, date of dispatch, batch number, vehicle type and
number, weight of consignment etc.) and technical details as per Annexure-II given
at the end of this document.
16. Mode of transport
16.1 Default mode of transport is covered truck with water proofing arrangement,
however, the supplier may also offer transport by rail only with prior consent of
respective plant management.

16.2 Unloading shall be in the scope of NTPC site provided torrefied pellets are
loose filled in the carriage vehicle.

16.3 If supplier supplies the material packed in bags, consignment shall not be
accepted or supplier shall unload the material at his own cost. In that case, for
any extra halt of carriage vehicle, demurrage shall not be payable by NTPC.

16.4 Further, supplier shall have flexibility to switch to railway mode of transport on
mutual consent basis without any cost implication or variation in FOR price.

TECHNICAL SPECIFICATIONS FOR AGRO RESIDUE BASED TORREFIED BIOMASS PELLETS

Page 7 of 12
 Consent of site is necessary for this in view of availability of material unloading
facility at site, traffic conditions etc.

17. Progress Report In case of award, supplier shall submit the monthly progress report to engineer-in-
Submission charge regarding torrefied pellet plant setting project through e-mail on the format
provided by NTPC.

18. Bid Evaluation The bid comparison shall be done on Rupees per Kcal basis.
19. Price escalation Annual price escalation shall be given on FOR price (excluding applicable
taxes). The price escalation shall be applicable after completion of one
year from the date of commencement of delivery.
However, spillover quantity of previous year shall be paid at previous
year rate without price escalation, if spillover occurs due to reason
attributed to the vendor.
Please refer Clause 33.0 of Volume-II Section -I of Special Purchase
Condition (SPC) for detailed calculations and provisions regarding Price
Escalation.

SPECIFIC SCOPE OF WORKS & TERMS:

1. The site/location for Sampling, Weighment and Unloading Point will be identified by NTPC
station. The trucks shall be sent for Sampling, Weighment and Unloading after verifying all
the documents. In any of the such events, for any extra halt of carriage vehicle due to
delays, demurrage shall not be payable by NTPC. Sampling may be done at unloading yard
or as identified by NTPC sites.
2. In case of rejection of consignment as per Clause 12.1, it’s supplier responsibility to carry it
back at its own cost as per Clause 14.3 of Technical Specification.
3. NTPC-Station will collect the gross weight and the tare weight of carriage vehicle and net
weight will be calculated. Net Weight Quantity of Pellets received at NTPC power station
will be final for the purpose of assessment of executed quantity and payment.
4. Extraneous Material (For material other than specified in Technical Specification at Clause
9 ): Successful Bidder is to ensure that Pellet is free of foreign /extraneous material etc.,
failing which NTPC shall ask Supplier to segregate as well as recover up to contracted landed
price for ten times of weight of the extraneous material or 0.5% of FOR Biomass Pellet value
of particular truck whichever is higher.
5. Successful Bidder is to ensure that raw materials such as Base material and Mixing material
to be sourced from domestic sources only as specified in the Clause 9 of Technical
Specification: Raw Materials for pellet Manufacturing.

TECHNICAL SPECIFICATIONS FOR AGRO RESIDUE BASED TORREFIED BIOMASS PELLETS

Page 8 of 12
 Annexure-I
Declaration by Bidder
(To be submitted on Companies letter head along with technical bid)

We, the undersigned, has read the technical specifications for agro residue based torrefied biomass pellets,
volume- III and declare the following:

(a) We have read and completely understood the technical specification document and have no reservations to it
including amendment/ Clarification.

(b) We have quoted the price in price bid for the agro residue based torrefied biomass pellets having technical
specification as follows:
SN Technical data Unit Specified Value range
1 Base material - agro residue
Diameter : cylindrical dia not more than 35 mm, / other
2 Diameter mm
shapes, no dimension shall exceed 35 mm
3 Fines% (length<3 mm)(ARB*) Wt % fines ≤ 5%
4 Gross Calorific Value (ARB*) Kcal/Kg (-----To be quoted by the bidder----)
5 Moisture (ARB*) Wt % Not more than 15%
6 Hardgrove Grindability Index 50 or more
(HGI)

(c) We understand that quantity and price adjustment shall be made for supplying the material deviating from
technical specification but within acceptable range as per clause 10 and 11 of technical specification (Volume-
III).

(d) We understand that rejection of consignment shall be made for not meeting acceptance limits of parameters
as per clause 12 of technical specification (Volume-III).

(e) We understand that liquidated damage (LD) shall be recovered for supply shortfall as per tender condition.

(f) We declare that we have read the bid document and has no reservation to it and shall abide by its provision.

Name/ Designation: Name of Company/firm/agency

Signature: Date: Place:

TECHNICAL SPECIFICATIONS FOR AGRO RESIDUE BASED TORREFIED BIOMASS PELLETS

Page 9 of 12
 Annexure-II
Tag for Consignment
(To be tagged along with each consignment on Agency’s letter head)

General Details
1. Name of company/ Firm /Agency
-
2. Address of manufacturing location
-
3. Date of dispatch
-
4. Batch number
-
5. Carriage Vehicle type/ Number
-
6. Weight Gross weight
Kg
Tare weight
Material weight

7. (any other details as applicable )

8. (any other details as applicable )

Technical Details
Dimension of torrefied pellet (in mm)
1

2 Name of base materials and its percentage

3 Mixing material and its percentage

4 Additive and percentage

Name/ Designation:

Signature: Date : Place:

TECHNICAL SPECIFICATIONS FOR AGRO RESIDUE BASED TORREFIED BIOMASS PELLETS

Page 10 of 12
 Annexure-III
List of Power Plants and Maximum pellet requirement

SN Plant Torrefied & Total Qty Torrefied Total

Non- for 4 & Non- Torrefied
Torrefied (Four) Torrefied & Non-
years in TPD Torrefied
basis (in TPD)
1 Vindhyachal Non-Torrefied 1372400 940
Super
1880
Thermal Torrefied 1372400 940
Power Station
2 Rihand Super Non-Torrefied 876000 600
Thermal 1500
Torrefied 1314000 900
Power Station
3 Sipat Super Non-Torrefied 730000 500
Thermal 1500
Torrefied 1460000 1000
Power Station
4 Korba Super Non-Torrefied 1898000 1300
Thermal 1300
Torrefied 0 0
Power Station
5 Kahalgaon Non-Torrefied 657000 450
Super
1180
Thermal Torrefied 1065800 730
Power Station
6 Farakka Super Non-Torrefied 584000 400
Thermal 1060
Power Station Torrefied 963600 660
7 Singrauli Non-Torrefied 730000 500
Super
1000
Thermal Torrefied 730000 500
Power Station
8 Simhadri Non-Torrefied 730000 500
Super
1000
Thermal Torrefied 730000 500
Power Station
9 Talcher Super Non-Torrefied 481800 330
Thermal 660
Torrefied 481800 330
Power Station
10 Non-Torrefied 292000 200 500

TECHNICAL SPECIFICATIONS FOR AGRO RESIDUE BASED TORREFIED BIOMASS PELLETS

Page 11 of 12
 Feroze
Gandhi
Unchahar Torrefied 438000 300
Thermal
Power Station
11 National Non-Torrefied 0 0
Capital Power
520
Station Dadri Torrefied 759200 520

12 Ramagundam Non-Torrefied 365000 250

Super
500
Thermal Torrefied 365000 250
Power Station
13 Kudgi Super Non-Torrefied 292000 200
Thermal 400
Torrefied 292000 200
Power Project
14 Lara Super Non-Torrefied 584000 400
Thermal 400
Torrefied 0 0
Power Project
15 Barh Super Non-Torrefied 189800 130
Thermal 330
Torrefied 292000 200
Power Project
16 Tanda Non-Torrefied 321200 220
Thermal 220
Torrefied 0 0
Power Station
17 Mouda Super Non-Torrefied 321200 220
Thermal 220
Torrefied 0 0
Power Project

TECHNICAL SPECIFICATIONS FOR AGRO RESIDUE BASED TORREFIED BIOMASS PELLETS

Page 12 of 12