National Circular Bioenergy Scheme – GOBARdhan
The Union cabinet has approved the National Circular Bioenergy Scheme – GOBARdhan, with an allocation of ₹23,731 crores to enhance the production of compressed biogas (CBG) in India.
Objectives and Framework
- Aim to increase domestic CBG production nearly ten-fold by 2036.
- Provide a "strong and predictable framework" for the CBG ecosystem.
- Use agricultural residue, cattle dung, sugar industry waste, municipal organic waste, and other biomass for CBG production.
Key Components
- Infrastructure Development:
- Focus on developing necessary pipeline infrastructure.
- Support for both cluster-based and standalone pipeline infrastructure.
- Integration with city-gas distribution networks to reduce costs and improve reliability.
- Pricing and Revenue:
- Introduces a stable-administered price of ₹2,110 per Metric Million British Thermal Unit (MMBTU) for CBG.
- Ensures long-term revenue visibility and consumer affordability.
- Financial Assistance:
- Capital assistance of up to ₹2 crore per tonne per day (TPD) for eligible greenfield and brownfield CBG projects.
- Support for plant machinery, feedstock aggregation, and manure processing.
Expected Outcomes
- Creation of lakhs of rural jobs and spur private investment.
- Additional income opportunities for farmers and rural entrepreneurs.
- Improved management of agricultural and municipal waste.
- Expansion in the production of organic manure and reduction in greenhouse gas emissions.
Vision
The GOBARdhan initiative is set to transform India’s CBG sector into a nationally scaled clean energy industry, aligning with the vision of Atmanirbhar Bharat and Viksit Bharat, while ensuring energy security and boosting rural enterprises.