GAIL, VERBIO sign MoU to develop agricultural residue-based CBG projects

New Delhi: State-run GAIL (India) Limited and VERBIO India Private Limited have signed a Memorandum of Understanding (MoU) on Friday to jointly explore the establishment of agricultural residue-based Compressed Biogas (CBG) plants in India. The MoU was signed in the presence of GAIL Chairman and Managing Director (CMD) Sandeep Kumar Gupta, functional directors of GAIL and Claus Sauter, founder and Chief Executive Officer (CEO), VERBIO Group.

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Sumit Kishore, Executive Director (Business Development and Exploration & Production), GAIL, and Ashish Kumar, Managing Director, VERBIO, signed the MoU. “This collaboration aims to leverage the strengths of both the companies to promote sustainable energy solutions and enhance utilisation of agricultural waste,” said the statement.

GAIL, VERBIO to scout for locations for setting up agri residue-based CBG plants

Under the terms of the MoU, the parties intend to work together to identify suitable locations for setting up of greenfield agri residue-based CBG plants in a Joint Venture (JV) mode. “The parties envisage to undertake feasibility studies of the identified projects. Based on the outcome of the studies, the parties will secure investment approval from their respective management for investment in the project(s) and forming a JV company,” said the statement.

GAIL to consider acquiring equity in VERBIO’s CBG plant in Punjab

Further, in line with the MoU, GAIL may explore the possibility of acquiring equity in the existing CBG plant of VERBIO in Punjab. Speaking on the occasion, the GAIL CMD said, “This MoU with VERBIO marks a significant step in our commitment to advancing clean energy in India. By harnessing agricultural residues for CBG production, we aim to contribute to the nation’s energy security and sustainability goals. This initiative will not only provide a renewable energy source but also support local farmers by utilising agricultural waste, enhancing their income and livelihood.”

Sauter, founder and CEO, VERBIO Group, said, “We are pleased to partner with GAIL to jointly deploy bioenergy as one of the most innovative solutions for stubble burning in India. This collaboration aligns with our vision of promoting CBG while supporting the farmers and rural economy in India. With a strong partner as GAIL, VERBIO will be able to replicate the success of CBG proof of concept already implemented in Punjab, across India. Both GAIL and VERBIO are committed to fostering innovation in the biofuel sector, and this collaboration is a testament to that commitment. By leveraging agricultural residues, we will not only generate clean energy but also contribute to reducing GHG emissions and have a positive environmental impact.”

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