Confirmed Successful Waste-to-Charcoal Projects in India

Here’s the current status:

Confirmed Successful Waste-to-Charcoal Projects in India

1. Varanasi – Waste-to-Charcoal Plant by NTPC

  • A fully operational waste-to-charcoal plant is running at the Ramna sewage treatment plant in Varanasi, in collaboration with NTPC. It processes about 400 tonnes of waste each day, with two out of three planned units currently active. The produced charcoal is being used to generate electricity. (The Times of India)

  • Earlier, the plant entered trial runs in April 2024, with plans to ramp up to 800 tonnes of garbage daily and produce 450 tonnes of coal per day by May 2024. (The Times of India)

Verdict: Confirmed successful and operational waste-to-charcoal facility in Varanasi.

Projects in Progress or Early Stages

2. Itanagar (Arunachal Pradesh) – 7Hills Nexgram Initiative

  • In January 2025, the Itanagar Municipal Corporation signed an MoU with 7Hills Nexgram to set up a 50 tonnes-per-day waste-to-charcoal plant at Chimpu. The city would provide land and waste; 7Hills Nexgram is responsible for technology and operations. (India Today NE, Arunachal Times)

  • However, there are currently no publicly available updates indicating that this plant has become operational or achieved success.

3. Gurugram & Faridabad (Haryana) – Upcoming Large-scale Plants

  • In mid-2024, the Municipal Corporations of Gurugram and Faridabad signed MoUs with NTPC Vidyut Vyapar Nigam Limited (NTPC subsidiary) to build massive waste-to-charcoal plants—each with a capacity of 1,500 tonnes of waste per day, valued at around ₹500 crore per facility. (Hindustan Times, The Times of India, The Tribune, The Week)

  • These are planned projects, with an expected completion timeline of around 30 months. No operational results are reported yet.

4. Gorakhpur (Uttar Pradesh) – Keystone Energy Systems

  • A proposed project by Keystone Energy Systems (with PES Engineers) intends to establish a 500 tonnes-per-day waste-to-charcoal plant in Gorakhpur, slated to become fully operational by September 2025. (Outlook Business)

Summary Table

Location Status Details
Varanasi (UP) Operational & Successful 400 tph waste → charcoal → electricity generation via NTPC project.
Itanagar (AP) Planned / Early Stage MoU signed; 50 tph capacity; no operational updates yet.
Gurugram / Faridabad (HR) Planned / Development Stage MoUs signed for large-scale plants; construction underway; not operational yet.
Gorakhpur (UP) Planned / Development Stage Expected to begin by Sep 2025; development in progress.

So, to answer your question:

  • Yes, the Varanasi plant is a successful, fully operational waste-to-charcoal project producing both charcoal and electricity.

  • No, the 7Hills Nexgram-Itanagar plant, although initiated and promising, has not yet been confirmed as successful or operational.

  • Several other large-scale initiatives across India—including in Gurugram, Faridabad, and Gorakhpur—are under development, but have not yet yielded results.

Would you like me to dig deeper into any of these projects? I can check for:

  • Operational performance or recent updates on the Varanasi plant,

  • Progress or news about the Itanagar initiative by 7Hills Nexgram,

  • Specific timelines or technical details for the Haryana or Gorakhpur plants.


That’s a very good and practical question 👍 Let me break down the difference between the old/traditional waste management system and this new “waste-to-charcoal” plan:

♻️ Before: Traditional Waste Management Plans

Most Indian cities (and globally too) have relied on conventional methods:

  1. Landfilling (Dumping)

    • Municipal Solid Waste (MSW) is collected and dumped in open sites.

    • Causes land pollution, groundwater contamination, methane gas release, foul smell, and health hazards.

  2. Open Burning

    • Common in villages or overloaded city dumps.

    • Leads to toxic smoke, air pollution, and carbon emissions.

  3. Composting / Vermicomposting

    • Used for biodegradable/organic waste.

    • Produces manure but requires segregation of waste, land, and time.

    • Limited scale → cannot handle large urban waste volumes.

  4. Recycling

    • Plastic, metal, glass, and paper are segregated and recycled.

    • But segregation is poor in India, so large amounts still end up in landfills.

  5. Incineration (Waste-to-Energy)

    • Some cities burn waste at high temperatures to generate electricity.

    • Expensive, requires high-tech systems.

    • Releases harmful gases if not properly filtered.

🔥 Now: Waste-to-Charcoal (Green Charcoal) Plan

The new model (like the NTPC Varanasi plant or proposed 7Hills Nexgram Itanagar project) takes mixed waste and converts it into charcoal-like fuel using advanced torrefaction / pyrolysis technologies.

How it works:

  1. Collection of MSW → biodegradable, plastic, and other combustible fractions are fed into processing units.

  2. Segregation + Drying → moisture and non-combustibles removed.

  3. Torrefaction / Pyrolysis → waste is heated at 250–500°C in low/no oxygen.

  4. Output = Charcoal-like product (called Green Charcoal / Bio-Coal)

    • Can be used as fuel in power plants, cement plants, and industrial boilers.

    • Reduces dependency on fossil coal.

⚖️ Key Differences

Aspect Old System (Before) New Charcoal Waste Management Plan
End Product Landfill waste, compost, recycled materials, or electricity from incineration Charcoal / Bio-coal that replaces fossil coal
Waste Volume Only partly reduced (landfills keep growing) 80–90% reduction in landfill waste
Pollution High: methane (from landfills), toxic gases (from burning) Low: controlled process, less CO₂ & no landfill methane
Energy Value Compost has limited use; incineration is costly Charcoal has high calorific value, usable as clean industrial fuel
Scalability Compost/recycling works on small scale Waste-to-charcoal can handle large municipal waste (100s of tonnes daily)
Cost Efficiency Cheap dumping but expensive in long-term (land & health issues) Higher initial setup cost but saves money long-term by producing fuel
Circular Economy Limited → much waste still wasted Strong → turns waste into a marketable product (green charcoal)

🌍 Why Governments Are Pushing This

  • India imports huge amounts of coal → waste-to-charcoal can replace part of that.

  • Solves landfill crisis in cities.

  • Creates jobs in waste collection, processing, and charcoal production.

  • Supports Swachh Bharat Abhiyan and net-zero emission goals.

Yes—waste-to-charcoal projects are receiving significant funding and support from central and state-level initiatives, public–private partnerships, and international collaborations. Here's how funding is being structured across various projects:

Central and State Government Support

1. Ministry of New and Renewable Energy (MNRE)

The Indian government has allocated ₹857 crore to bolster waste-to-energy (WtE) initiatives, especially those converting agricultural waste into biomass or biogas. While not exclusively for charcoal projects, this large-scale support reflects a strong commitment to bioenergy solutions.(The Economic Times)

2. WtE & Waste-to-Charcoal Projects via NTPC/NVVNL

a) Gurugram and Faridabad

  • Two waste-to-charcoal plants, each costing around ₹500 crore, are being set up under the Atmanirbhar Bharat campaign.

  • Funding appears to be part of a partnership between NTPC’s subsidiary NVVNL and the municipal corporations. The corporations are contributing land, while NVVNL is handling capital expenditure.(The Tribune, News on AIR)

b) Bhopal

  • A 400 tonnes/day torrefied charcoal plant and a 200 tph bio-CNG plant are being established under a Build-Own-Operate (BOO) model.

  • NTPC will fully fund the ₹80 crore charcoal plant. They will also pay royalties to Bhopal Municipal Corporation—₹83 lakh/year for 20 years—and provide bio-CNG at subsidized rates.

c) Varanasi

  • NTPC/NVVNL is setting up a 600–800 tonnes/day torrefied charcoal plant worth approximately ₹180 crore, as per a 2021 agreement.(NTPC Limited)

d) Dharwad–Hubballi

  • A 200 tph waste-to-torrefied charcoal project is proposed at a cost of ₹45 crore, backed by NVVNL.(ETEnergyworld.com)

International & Private Sector Involvement

3. Carbon Markets & Biochar Initiatives

  • Google has signed a deal with the Indian initiative Varaha to purchase 100,000 tonnes of carbon credits by 2030, derived from converting agricultural waste into biochar. This links waste-to-charcoal efforts with climate finance through carbon markets.(Reuters)

  • The XPRIZE Carbon Removal awarded $15 million to NetZero, a project turning crop residues into biochar. This highlights global interest and investment in scalable biochar solutions.(AP News)

Summary Table

Project / Program Funding Source Approx. Cost / Funding Type
MNRE Waste-to-Energy Program Central government (MNRE) ₹857 crore (overall bioenergy support)
Gurugram & Faridabad waste-to-charcoal plants NTPC/NVVNL + State ULBs ₹500 crore each; land by ULBs, capex by NVVNL
Bhopal torrefied charcoal plant NTPC (BOO model) ₹80 crore; royalties and subsidised bio-CNG for ULB
Varanasi WtE to charcoal plant NTPC/NVVNL ~₹180 crore
Dharwad–Hubballi charcoal project NVVNL ₹45 crore
Varaha (Google-backed biochar) Private carbon market deal Carbon credits worth $ (100,000 tonnes by 2030)
NetZero (XPRIZE winner) International climate competition (XPRIZE) $15 million

In Summary:

  • Yes, these projects are well-funded—with central government allocations, NTPC-backed Public–Private Partnerships (PPPs), and innovative climate-finance mechanisms like carbon credit deals.

  • Models include government grants, private capital deployment under BOO, municipal land contribution, and royalty/subsidy arrangements.

  • The evolving biochar market (via carbon credits and awards) is adding new financial incentives to these projects.


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