
Environment
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Cabinet clears Rs 23731 crore GOBARdhan CBG scheme
PMO India··7 Aug
The Union Cabinet approved GOBARdhan, India's national bioenergy scheme, with a Rs 23,731 crore outlay from FY 2026-27 to FY 2035-36. The plan sets a stable compressed biogas price of Rs 2,110 per MMBTU and capital assistance up to Rs 2 crore per tonne per day for eligible plants. City gas blending obligations will rise over three years.
Prism
What It Means For You
- CNG and PNG users may see mandatory CBG blending rise from 3 percent in FY27 toward 5 percent from FY29.
- Farmers and rural entrepreneurs can track capital support of up to Rs 2 crore per tonne per day of capacity.
- Taxpayers can note the Rs 23,731 crore outlay running from FY 2026-27 to FY 2035-36.
What's Happening
- The Union Cabinet approved GOBARdhan, a national circular bioenergy scheme, with a Rs 23,731 crore outlay.
- The plan sets an administered CBG price of Rs 2,110 per MMBTU under a long-term framework.
- City gas distributors must meet rising CBG blending obligations in transport CNG and domestic PNG.
The Numbers Behind India's CBG Scale-Up
- The government aims to raise domestic compressed biogas production nearly ten-fold over the decade.
- Credit guarantees covering a large share of project loans are meant to ease MSME plant financing.
- Pipeline connectivity funding and a district ecosystem fund target feedstock supply and evacuation gaps.
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