Bagasse is a fibrous residue left over after the sugarcane is crushed. The fiber content of bagasse (cellulose) is used in cellulose industries like the pulp, paper, particle boards, cattle-feed etc. This is valued as an important by-product and efforts are under way to save as much as possible to produce the value-added products. Bagasse is traditionally used as captive fuel in sugar factory boiler for raising steam required for the generation of power and driving the prime movers. In recent years, the technology for making different products such as papers, boards and chemicals are developed and many mills have introduced energy conservation measures to save as much as possible, even after using it as captive fuel.