Rs 2 lakh crore investment in 5,000 compressed bio-gas plants in offing

Oil Minister Dharmendra Pradhan said SATAT provides for generating gas from municipal waste as well as forest and agri waste.

Published: 20th November 2020 07:24 PM  |   Last Updated: 20th November 2020 07:24 PM   |  A+A-

Union Minister for Petroleum and Natural Gas Dharmendra Pradhan

Union Minister for Petroleum and Natural Gas Dharmendra Pradhan (Photo | EPS)


NEW DELHI: India will see an investment of Rs 2 lakh crore in setting up 5,000 plants that will produce gas from bio and crop wastes by 2023-24, Oil Minister Dharmendra Pradhan said on Friday.

To boost the availability of affordable and clean transport fuel, an agreement was signed for setting up 900 compressed bio-gas or CBG plants by companies such as Adani Gas and Torrent Gas.

Under the Sustainable Alternative Towards Affordable Transportation (SATAT) initiative, the government is looking at setting up of 5,000 CBG plants by 2023-24 with a production target of 15 million tonnes, an official statement said.

Speaking on the occasion, Pradhan said, "We have developed a clear-cut roadmap for SATAT. Letter of intent for 600 CBG plants have already been given and with today's signing of MoUs for 900 plants, a total of 1500 CBG plants are at various stages of execution."

As much as Rs 30,000 crore investment is envisaged in these 900 plants, he said.

"A total of 5000 CBG plants with an approximate investment of Rs 2 lakh crores are envisaged."

The gas produced at CBG plants can be used as fuel to power automobiles.

Biofuels have the potential to reduce fuel import bill by Rs 1 lakh crore, he said without elaborating.

Pradhan said SATAT provides for generating gas from municipal waste as well as forest and agri waste.

Animal husbandry and marine wastes are also included.

The policy provides for guaranteed offtake of the gas produced at the CBG plants by the state-owned firms.

"SATAT will establish an ecosystem for the production of compressed bio gas from various waste and biomass sources in the country leading to multiple benefits such as reduction of natural gas import, reduction of greenhouse gas emission, reduction in burning of agriculture residues, remunerative income to farmers, employment generation and effective waste management," the statement said.


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