The Interim Union Budget (FY25) has proposed initiatives to boost India's Green Energy Sector. Which of the following proposals are connected with developing India's Green Energy?

I. Viability Gap Funding (VGF) for utilizing solar energy projects

II. To set up coal gasification and liquefaction capacity of 100MT by 2030

III. Optional blending of Compressed Bio Gas (CBG) in Compressed Natural Gas (CNG) for transport and Piped Natural Gas (PNG) for domestic purposes

IV. Provision of financial assistance for procurement of biomass aggregation machinery

V. Setting up of a payment security system for expanding the bio-manufacturing system in the country

Select the correct answer using the codes given below:

Key Points

• Viability Gap Funding (VGF) for utilizing solar energy projects is a direct support to ensure the financial feasibility and attractiveness of solar energy projects, promoting the use of renewable energy sources.
• Optional blending of Compressed Bio Gas (CBG) in Compressed Natural Gas (CNG) for transport and Piped Natural Gas (PNG) for domestic purposes helps in reducing carbon emissions and utilizing renewable sources of energy.
• Setting up of a payment security system for expanding the bio-manufacturing system in the country helps in securing investments and promoting the bio-manufacturing sector, which is an integral part of green energy initiatives.
• These proposals are aligned with the development of India's Green Energy sector by promoting renewable energy sources and sustainable practices.

Additional Information

• Viability Gap Funding (VGF):
  • It is a financial support provided by the government to infrastructure projects that are economically justified but not financially viable.
  • This funding helps in bridging the gap between project costs and the returns generated by the project.
  • VGF is crucial for promoting renewable energy projects such as solar energy, which require significant upfront investment.
• Compressed Bio Gas (CBG):
  • CBG is produced from various sources like agricultural residue, cattle dung, sugarcane press mud, municipal solid waste, sewage treatment plant waste, etc.
  • It is a renewable source of energy and can be used as an alternative to conventional fuels like CNG.
  • Blending CBG with CNG and PNG helps in reducing greenhouse gas emissions and promoting sustainable energy use.
• Biomass Aggregation Machinery:
  • Biomass aggregation involves collecting and processing organic matter like crop residue, wood chips, and other plant materials for energy production.
  • Financial assistance for procurement of biomass aggregation machinery supports farmers and energy producers in managing and utilizing biomass effectively.
  • This initiative helps in reducing pollution caused by burning crop residue and promotes the use of biomass as a renewable energy source.
• Bio-manufacturing System:
  • Bio-manufacturing involves the production of biologically-based products, including biofuels, bioplastics, and other bio-based materials.
  • Setting up a payment security system ensures that investments in bio-manufacturing are secure and profitable.
  • Promoting bio-manufacturing is essential for developing a sustainable and green energy sector in the country.