Skip to main content

https://indianmasterminds.com

ADVERTISEMENT
ADVERTISEMENT

Cabinet Approves ₹23,731 Crore GOBARdhan Scheme to Scale Up India’s Compressed Biogas Revolution

The Union Cabinet has approved the ₹23,731-crore GOBARdhan Scheme to accelerate compressed biogas production, promote waste-to-wealth, support farmers and strengthen India's clean energy transition.
Indian Masterminds Stories

New Delhi: In a major push towards clean energy and rural development, the Union Cabinet has approved the ₹23,731-crore GOBARdhan (National Circular Bioenergy Scheme), a landmark initiative aimed at transforming agricultural residue, cattle dung, municipal organic waste and other biomass into compressed biogas (CBG), organic manure and new income opportunities for farmers.

Approved by the Cabinet chaired by Prime Minister Narendra Modi, the scheme will be implemented from FY 2026-27 to FY 2035-36. It seeks to establish compressed biogas as a key pillar of India’s energy mix while reducing dependence on imported fossil fuels and strengthening the country’s circular economy.

A National Push for Compressed Biogas

The GOBARdhan Scheme integrates multiple incentives under one national framework to accelerate CBG production. It combines assured market demand, stable pricing, capital support, pipeline connectivity, access to institutional finance and technology development to encourage investment across the sector.

The government expects the initiative to increase domestic CBG production by nearly ten times, making India a major producer of renewable gaseous fuel.

Read also: Chhattisgarh Cabinet Approves ₹4,000 Crore Rural Jobs Scheme, Biogas Policy and Atal Aajeevika Haat Initiative

Six Pillars of the Scheme

The scheme is built around six major components:

  • Assured offtake of compressed biogas through City Gas Distribution networks.
  • Government-backed pricing framework offering long-term revenue certainty.
  • Capital assistance of up to ₹2 crore per tonne per day for eligible greenfield projects.
  • Development of dedicated pipeline infrastructure connecting CBG plants with gas networks.
  • Credit guarantee support to improve financing for MSMEs and rural entrepreneurs.
  • A dedicated Challenge Fund to strengthen district-level planning, feedstock management and technology adoption.

Benefits for Farmers and Rural Economy

The initiative is expected to generate fresh economic opportunities in rural India by creating demand for agricultural residue, cattle dung and other biomass resources.

Farmers, cooperatives, feedstock suppliers and rural entrepreneurs are expected to benefit from additional income streams, while local employment will be created in waste collection, transportation, plant operations and organic manure production.

Boost to Clean Energy and Waste Management

Compressed biogas is chemically similar to natural gas and can be supplied through the existing gas distribution network.

The government believes the scheme will help:

  • Reduce dependence on imported fossil fuels.
  • Improve scientific management of agricultural and municipal organic waste.
  • Lower greenhouse gas emissions.
  • Expand the organic manure economy.
  • Strengthen India’s clean energy ecosystem.

Built on Existing Initiatives

The GOBARdhan Scheme builds upon earlier government programmes such as the SATAT initiative, the Market Development Assistance Scheme, the Biomass Aggregation Machinery Scheme, the Development of Pipeline Infrastructure Scheme and financial assistance under the National Bioenergy Programme.

More than 200 compressed biogas plants have already been commissioned under these initiatives. The new scheme aims to scale up these efforts through a unified national framework.

Why It Matters

With India’s natural gas demand steadily increasing across transport, households and industries, the GOBARdhan Scheme is expected to play a crucial role in expanding domestic renewable fuel production. By converting waste into energy while supporting rural livelihoods and private investment, the initiative aligns with the government’s goals of Atmanirbhar Bharat, energy security, sustainable agriculture and a circular economy.

Read also: Bihar’s Supaul Women Turn Plastic Waste into Livelihood Through Waste Management Units


Indian Masterminds Stories
Join our WhatsApp Channel
ADVERTISEMENT
ADVERTISEMENT
Related Stories
ADVERTISEMENT
ADVERTISEMENT
NEWS
Samrat Choudhary CM
Bihar’s ₹2,520 Crore Gaya Plan: Vishnupad Corridor to Mirror Kashi’s Grand Model
Rice agri
Bihar’s New Paddy Playbook: Parboiled Rice in Every District, GPS Tracking on Roads
Bihar Tourism
Bihar’s Gaya Sees 4X Tourist Growth, Expands Facilities for 50 Lakh Pilgrims
Airports Authority of India AAI
Leadership Updates: Suresh Chandra Rajeev Gets Additional Charge as AAI CVO Till April 2027 
EIL Gastech 2026
EIL Showcases ‘Total Energy Solutions’ at Gastech 2026, Highlights Global Energy Expertise
makhana (3)
From Chana to Makhana: MP’s Damoh Expands Farming Opportunities to Raise Farmer Incomes
mp cabinet
From ₹36,006 Crore Education Plan to Mega Irrigation Projects: MP Cabinet Takes Key Calls
ONGC-Videsh
ONGC Videsh Steps Up Global Expansion, Targets New Oil and Gas Assets to Boost India’s Energy Security
ADVERTISEMENT
ADVERTISEMENT
Videos
Keshav kumar
From Police Officer to Forensic Pioneer: How Dr Keshav Kumar Made Science a Weapon Against Crime
ChatGPT Image Aug 20, 2026, 05_46_21 PM
How IPS Officer Keshav Kumar Used Forensics to Crack Gujarat’s Lion Poaching Case
Shakeel Ahmad Ganie IRS Interview
‘My Path Has Not Been Straight’: Shakeel Ahmad Ganie’s Journey to the IRS
ADVERTISEMENT
UPSC Stories
Umar Janj UPSC CAPF AC 2025
After 15 Failures, Umar Janj Finally Heard the Words He Had Been Waiting For: ‘I have made it'
Umar Janj from Jaisalmer secured AIR 160 in UPSC CAPF 2025 after 15+ failures, four attempts, four SSBs...
Abhishek Parmar
NDA Failures, CAPF Setbacks, Then AIR 248:How Abhishek Parmar Overcame Years of Exam Setbacks
Abhishek Parmar became the third generation of his family to enter uniformed service after overcoming...
Naveen Kumar Saini UPSC CAPF
After 3 NDA Attempts and a 7-Mark Miss, Naveen Kumar Saini Gets AIR 7 in UPSC CAPF 2025
Naveen Kumar Saini secured AIR 7 in UPSC CAPF 2025 after multiple NDA and SSB failures and missing CAPF...
CSR NEWS
POWERGRID War Heroes Gallery
POWERGRID Hands Over ₹20 Lakh War Heroes Gallery to Indian Army at Tangdhar in Kupwara
Developed under POWERGRID’s CSR initiative, the gallery showcases Tangdhar’s military heritage and honours...
NLC India Auroville Electric Vehicles
NLC India Hands Over Four Electric Vehicles to Auroville Foundation Under ₹21 Lakh CSR Initiative
The initiative aims to promote sustainable internal transportation for Auroville residents and visiting...
HURL Integrated Seed Bank
HURL Signs MoU With Art of Living Social Projects to Support Integrated Seed Bank for India Flora
The CSR partnership will support conservation of indigenous plants, protection of genetic diversity and...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
Latest
Conservation Through Empowerment: How Divya Bharathi Turned Melghat’s Forest Guards Into Biodiversity Champions
Conservation Through Empowerment: How Divya Bharathi Turned Melghat’s Forest Guards Into Biodiversity Champions
Samrat Choudhary CM
Bihar’s ₹2,520 Crore Gaya Plan: Vishnupad Corridor to Mirror Kashi’s Grand Model
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
Videos
Keshav kumar
ChatGPT Image Aug 20, 2026, 05_46_21 PM
Shakeel Ahmad Ganie IRS Interview
ADVERTISEMENT
ADVERTISEMENT