The Hindu Business Line : Poultry litter to fetch carbon credits

A unique Indian project involving poultry litter has been registered at the UN as a clean development mechanism to earn carbon credits. The project, which is to be commissioned in November at Pochampally village (near Hyderabad), envisages producing electricity from poultry litter.

SLT Power and Infrastructure Projects Pvt Ltd, the company driving the project, has entered into tie-ups with 16-17 poultry farms in the 35 km radius of plant site for supply of 37,872 tonnes of poultry litter per annum.

"The litter, along with some amount of rice husk would be used as raw material in the 3.5 MW power plant set up by the company," Mr Vijay Bhaskar Reddy, Managing Director, SLT Power and Infrastructure, told Business Line.

Slashing methane

The project envisages reducing emissions of methane, which would be equivalent to about 65,794 tonnes of carbon dioxide per annum. The project document for the UNFCCC approval for earning carbon credits was prepared by Ecosecurities.

The company has entered into litter sourcing contracts with farms such as Narayan Reddy poultry (which has 3.8 lakh birds), Sri Lakshmi Narasimha poultry (3.1 lakh), Ratnam poultry (3.2 lakh), Suvarna poultry (1.2 lakh), Mandakini research farms (1.5 lakh), Sri Rama Agriculture and poultry (1.9 lakh). The farms would be paid Rs 250-300 per tonne of poultry litter, depending on the moisture content in the litter. With transportation and other costs, SLT Power would get each tonne of litter for Rs 640 at the power plant site, explained Mr Reddy.

On the electricity production side, the company has entered into a tie-up with Andhra Pradesh Transco for power supply at the APRC price. For setting up the 3.5 mega watt plant, the company has spent "in the range of Rs 4.5 crore per mega watt," he said. Given the large number of poultry around Hyderabad, Mr Reddy plans to replicate the project and put up another 7.5 mega watt plant on similar lines.

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