Power generation by using biomass gas from rice husk, wood chips , saw dust and crop stalks can not only save on production costs of rice mills and timber processing mills, but also can provide additional benefits such as selling surplus electric power to the power grid. Because of the higher thermal conversion efficiency of the Fengyu equipment (taking rice husk as an example), each KWH power generation consumes only 1.6~1.8kg of rice husk. When using wood dust or crop stalks as fuel, the unit consumption of fuel will be even lower. For cooling, water used for gas-cleaning and cooling can be re-circulated after it is treated by the plant water treatment facilities For example: using a a sediment pond thereby eliminating environmental pollution. By using a sediment pond and re-circulating water, we need a small daily amount of replacement water and not a continuous large supply. The sediment/water pond for each 200 kw-unit of power plant covers an area of about 50m2, ,only. The recommended engines and generator, and other electrical equipment should be arranged indoors, but other equipment can be uncovered and outside. The covered area required per each 200kw generator “unit” is approximately 40~50m2. In other words a 2MW facility will require approximately a space of approximately 400 to 500 m2. The rate of internal consumption of power for the power plant equipment is very low, only 5~8% of the generated power. Therefore, our proposed technical solution is ideal where there is plenty of biomass resources, but short on electric power supply where every net kwh is important.. In general, the investment for Fengyu’s major equipment can be recovered within the first two years. The equipment can be operated safely, and presents low operation and maintenance costs.