India's Velan Hotels has completed a 2 megawatt biomass project for the company's property in Tiruppur, Tamil Nadu state.

The project harnesses waste heat recovered from air conditioning, and generates enough power for the hotel, adjacent shopping mail with enough left over for the company to sell back to the grid, with a power purchasing agreement already signed.

The payback period from the project, which also uses a new waste technology from Germany for zero-waste water mangement, is expected to be three years.

Velan Hotel Tiruppur is a three star hotel, and is part of a mall and multiplex complex. The Velan Hotels group operates two hotels and four standalone restaurants in southern India.