Reliance Industries (RIL) and Adani Total Gas (ATGL) are planning to establish 10 compressed biogas (CBG) plants each in India, with a capacity of up to 30 tonnes per year.
What Happened? Five plants will be set up in the next five years, followed by the remaining plants, sources told the Economic Times. The investment for each company is estimated to be up to ₹2,500 crore.
CBG is a sustainable fuel produced from biomass and waste sources, similar to compressed natural gas (CNG), and can be used in automotive, industrial, and commercial applications.
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The companies have identified suitable sites for the plants, starting with five in the initial phase, as feedstock availability is a key consideration, the sources told the business daily. RIL and ATGL aim to supplement their gas distribution operations and contribute to India’s environmental commitments.
Jio-bp, a joint venture between RIL and UK-based BP, has already started retailing CBG and bio-CNG as an alternative to CNG in CNG-powered vehicles. RIL plans to set up five CBG plants in Gujarat and five in other locations across the country.
India currently has around 30 operational CBG plants, and the sector is expected to attract over $2 billion (₹16,530 crore) in investments over the next five to seven years. The government’s Satat scheme aims to reach a production capacity of 15 million metric tonnes per annum, equivalent to around 40,000 tonnes per day.
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