In a bid towards energy security, the Union Cabinet on Thursday approved a Rs 23,731 crore GOBARdhan scheme for bio gas. GOBARdhan or the Galvanizing Organic Bio- Agro Resources Dhan scheme aims to push for the production of compressed bio-gas.The move assumes significance in the backdrop of the ongoing Middle East crisis which has exposed India’s vulnerability to natural gas imports. India at present imports around 50% of its natural gas consumption. The Strait of Hormuz disruption impacted 55–60% of India’s LNG imports. The government sees compressed bio-gas as a domestic solution.
GOBARdhan scheme: All you want to know
The scheme has six pillars: assured offtake, price stability, capex support, pipeline infra development, credit guarantee, and challenge fund for innovation.Government-backed administered CBG (Compressed Bio-Gas) price aims to insulate buyers from global fuel price volatility.
- Capital support: Up to Rs 2 crore/TPD (tons per day) for plant, feedstock systems and organic manure processing machinery.
- Pipeline infrastructure infrastructure support Compressed Bio-Gas plants connected to trunk and City Gas networks
- Credit guarantee: Up to 85% cover on eligible loans for MSME-led projects
- Challenge Fund: Supporting district-level implementation, feedstock development, research and innovation, technology adoption, by-product value addition and stakeholder awareness.
Expected Benefits over a decade
- CBG production grows by 10X, attracting private investment
- Reduces energy import dependence and saves over Rs 40,000 Crore in forex
- Clean, home-grown gas displaces 10 MMT of fossil fuel
- A new industry will add more than Rs 75,000 Crore to national GDP
- Over 1.5 lakh jobs will be generated
- Diverting waste from landfills into fuel cuts 40+ MT of CO₂ emissions
- 250 MMT of organic fertilizer produced
✍️ Vikrant Kharwar
Vikrant Kharwar is the Founder and Editor of News Us Media. He writes about trending news, sports, entertainment, technology, and viral stories. His goal is to make news simple, informative, and easy to understand for readers across the United States and around the world.
