This study focuses on the ex-situ crop residue management and examines the economics of crop residue supply chain in Punjab. It compares the delivered cost of various types of biomass products such as bales, briquettes, and pellets to end-users. Further, it investigates the viability of the use of paddy residue in coal-fired power plants to supplement the use of coal in the state. The study also identifies tangible solutions to support the biomass supply chain and scale up ex-situ management in Punjab.