Biochar is black carbon material that is produced from decomposition of plant derived organic matter. The process takes place in a low oxygen environment through a reaction called pyrolysis or gasification. This reaction produces rich energy gases that can be used for producing liquid fuels, directly used for power or heat generation.

In addition, biochar is a boom for agriculture as it acts as a soil enhancer, improving productivity particularly in low fertility and degraded soils. It improves the water holding capacity of the soil and hence the dependence on fertilisers is minimized.