India to see Rs 2 lakh cr investment in 5,000 CBG plants by 2023-24: Pradhan

• MoUs were signed for setting up a total of 900 CBG plants with companies like JBM Group, Adani Gas, Torrent Gas and Petronet LNG

• The 900 CBG plants will entail an investment of around Rs 30,000 crore

New Delhi: India will see an investment of Rs 2 lakh crore in setting up 5,000 compressed bio-gas (CBG) plants by 2023-24, said Petroleum Minister Dharmendra Pradhan on Friday. To boost availability of affordable and clean transport fuels, a Memorandum of Understanding (MoU) was signed between the Ministry of Petroleum and Natural Gas and leading oil and gas marketing companies and technology providers to establish CBG plants across India under the Sustainable Alternative towards Affordable Transportation (SATAT) initiative. MoUs were signed for setting up a total of 900 CBG plants with companies like JBM Group, Adani Gas, Torrent Gas and Petronet LNG, and with technology providers in CBG sectors like Indian Oil Corporation (IOC), Praj Industries, CEID Consultants and Bharat Biogas Energy for facilitating availability of technology for the projects. The 900 CBG plants will entail an investment of around Rs 30,000 crore, an official statement said.

Speaking on the occasion, Pradhan said, "We have developed a clear-cut roadmap for SATAT. I am glad to note that Indian industry players have shown immense interest in 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. Rs 30,000 crore of investment is envisaged in these 900 plants. A total of 5000 CBG plants with approximate investment of Rs 2 lakh crore are envisaged. Biofuels have the potential to reduce our fuel import bill by Rs 1 lakh crore."

'SATAT scheme will contribute towards doubling farmers' incomes'

Elaborating on the benefits of the SATAT scheme, Pradhan said, "Benefits out of the SATAT will go to our farmers, rural areas and tribals. With the inclusion of forest waste, agri-waste, animal husbandry waste and marine waste, SATAT involves a multi-pronged approach. With liberalised policy regime ensuring ease of doing business for entrepreneurs, off-take guarantee, financing and technology support, SATAT is all set to contribute towards doubling farmer's income, generating employment for the youth and ensuring clean energy for sustainable development." The minister also thanked the Reserve Bank of India for including CBG in priority sector lending framework.

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Under the SATAT initiative, the government envisages setting up 5,000 CBG plants by 2023-24 with production target of 15 MMT, facilitating the creation of new employment opportunities and enhancing farmers' income.

"The MoU-signing ceremony marks the ministry's commitment towards SATAT. The increased participation of the private sector would help the nation in achieving indigenous and sustainable production of clean fuel," the statement said. The completion of 5,000 CBG plants will facilitate lowering greenhouse gas emissions, remunerating farmers for agricultural residues and reducing natural gas imports, in line with the Aatmanirbhar Bharat and Swachchh Bharat missions, said Pradhan.

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