Biogas

The government has operationalised its Rs 23,731-crore GOBARdhan scheme for compressed biogas (CBG), offering producers assured offtake of up to 100 per cent of their output, a government-backed administered price for at least 10 years and capital assistance, in a bid to make waste-to-energy projects more commercially viable and attract private investment. The Petroleum and Natural Gas Ministry, in operational guidelines dated September 15, has laid down detailed mechanisms for the scheme, which will run from 2026-27 to 2035-36 and seeks to establish a more predictable market for CBG producers. GOBARdhan stands for Galvanising Organic Bio-Agro Resources Dhan. It is the government's programme to turn organic waste such as cattle dung, agricultural residue, food waste and other biomass into useful products such as biogas, CBG and organic manure. This is to be co-mingled with natural gas for supply to users. The scheme brings together six components -- assured CBG offtake, a pricing ..

Ensures full offtake of CBG plant and introduces a pricing mechanism

Government-funded affordability support and a wider domestic gas pool will cushion consumers from the impact of higher procurement prices paid to CBG producers

The govt has set price of CBG for first time. But the question arises: Who pays premium for CBG, a purified, renewable form of biogas made from organic waste?

National framework combines capital grants, guaranteed offtake and infrastructure funding to turn agricultural waste into an investable, bankable asset class

The Union Cabinet has approved the ₹23,731-crore GOBARdhan scheme to scale up compressed biogas production, strengthen the circular bioeconomy and boost clean energy adoption

Improved competitiveness of biogas--a cleaner-burning fuel derived by processing organic municipal waste, parali or press mud from sugarcane factories among others-relieves pressure on the government

The Wagon R flex fuel can run on ethanol blends up to E85 and is technically compatible with fuel blends ranging from E20 to E100

The policy expected to debut this month would increase the offtake price of compressed biogas, or CBG, and offer financial benefits to companies for spending on new projects

Maruti Suzuki bets on compressed biogas as a key decarbonisation fuel, investing in nine CBG plants to support India's net-zero goals

Cleaner fuel deserves stronger incentives, says Bhargava

As West Asia tensions strain energy supplies, industry backs bio-isobutanol blending in diesel to boost energy security without affecting mileage, using existing distilleries with minimal investment

An educational institution in Gujarat has been preparing more than 500 meals daily using biogas, eliminating the need for LPG cylinders, under the state's Institutional Biogas Plant Scheme, officials said. The institution has become self-reliant in cooking gas, amid its supply concerns due to the ongoing West Asia conflict. At Shrimati Manekba Vinay Vihar Educational Complex in Gandhinagar, food is cooked twice every day for around 250 students, while about 15 families on the campus also use the fuel for cooking, a government release said on Saturday. The campus operates two biogas plants of 45 cubic metres each, with a total capacity of 90 cubic metres per day, it added. Without the plants, the institute would need nearly 30 LPG cylinders per month, but currently requires none, officials said. Supported by the government scheme, the institution has become self-reliant in cooking gas, its manager, Rahul Patel, said. With nearly 220 cows, it has sufficient dung for biogas producti

Biogas industry body has urged phased CBG blending and diesel phase-down in Delhi, advocating an integrated clean mobility approach combining EVs, CNG, and biogas

The Indian Biogas Association (IBA) has suggested to the Delhi government that it pursue up to 20 per cent blending of compressed biogas into compressed natural gas, as it can bring gaseous (vehicular) mobility close to carbon neutrality. In a statement, the IBA pointed out that although EV adoption is increasing, EV penetration in the overall vehicle fleet remains limited. Thus, it makes CNG the best choice as a clean fuel because of its negligible particulate emission and significantly lower levels of NOx compared to diesel, it added. The IBA has submitted its recommendations on the Draft Delhi Electric Vehicle Policy to the Delhi government, urging policymakers to adopt an integrated clean mobility approach that combines electric vehicles (EVs), CNG, and CBG to deliver immediate and scalable emissions reductions. The IBA pointed out that the existing infrastructure for the supply of CNG, including pipelines, dispensing stations, and millions of vehicles that run on this fuel, ...

The proposed excise duty waiver on biogas blended in compressed natural gas, coupled with a clear policy line, can unlock potential investment of Rs 1 lakh crore in the country, Indian Biogas Association (IBA) said on Sunday. The government in the recently announced Union Budget 2026, provided an excise duty waiver on Compressed Biogas (CBG) blended with Compressed Natural Gas (CNG), which is an important step forward in India's energy transition towards 2070 Net Zero target, an IBA statement said. According to the statement, quantitatively, if city gas distribution (CGD) networks achieve even a 5 per cent biogas blending level nationwide over the next five years, it will require about 2.5-3 MMTPA of CBG. "This itself could lead to investments of Rs 45,000-55,000 crore. If there is a clear policy and predictable prices, blending could realistically grow to 7-8 per cent by 2032. This would double the investment potential to almost Rs 1 lakh crore," it said. This initiative (waiver)

India's compressed biogas sector has expanded rapidly in recent years, aided by policy support, blending mandates and investment, though challenges around feedstock and scale persist

The biogas sector is expected to see investments of over Rs 5,000 crore in 2026-27 buoyed by strong interest from investors and stakeholders this calender year, the Indian Biogas Association (IBA) said. As of date, more than 100 compressed biogas (CBG) plants have been commissioned, and the year 2025 witnessed strong interest from investors and stakeholders and growing CBG pipeline According to government data, 94 CBG plants sold more than 31,400 tonne of CBG during FY 2024-25, which is a tangible proof of growth, and market uptake, the IBA said in a statement. Also, there lies ample room for efficiency improvement and capacity utilization in the several million small-scale traditional biogas digesters, and the country programs are scaling up support for the various medium-sized plants which offer the benefits of cleaner cooking fuel, rural employment and organic manure. The IBA anticipates significant commissioning of CBG facilities, effective and organized supply chains for ...

Japan's Mitsubishi Corporation has acquired a minority stake in KIS Group's Indonesia operations, marking its entry into the global biogas business, KIS Group said on Wednesday. KIS Group, founded by K R Raghunath in 2006, plans to invest about USD 1 billion in renewable gas and biofuel projects across Southeast Asia and India by 2030, it said in a press statement. In the statement, KS Group said, "Mitsubishi Corporation, one of Japan's largest global integrated business enterprises, has acquired a minority equity stake in its Indonesia operations. This investment marks Mitsubishi Corporation's first entry into the global biogas market." Without giving financial details as well as the percentage of stake acquired, KIS said that with Mitsubishi's backing, it aims to expand to North and South America and Europe within five years. The partnership will focus on co-developing and commercialising advanced biogas, BioCNG, and BioLNG technologies, leveraging Mitsubishi's global network acr

KIS Group aims to invest $1 billion across renewable gas and biofuel solutions in Southeast Asia and India by 2030