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Biogas Production: The Central Government has approved a scheme during a cabinet meeting to produce gas from waste and cow dung. Let us find out more about this scheme.

Biogas Production: The country has faced a significant shortage of gas over the past few months. Gas imports were temporarily halted following the blockage at the Strait of Hormuz. However, the government is now equipping itself to handle any such future situations. As part of this effort, biogas will be produced from waste and cow dung. The government has introduced a scheme for this purpose, which has received cabinet approval.

What is this scheme?

The Central Government approved the GOBARdhan (Galvanising Organic Bio-Agro Resources Dhan) scheme during the cabinet meeting on Thursday. An expenditure of ₹23,731 crore has been allocated for this scheme. Its objectives are to multiply compressed biogas production in the country over the next decade, boost farmers' income, and reduce dependence on imported fuel.

Every organic resource has a purpose. Every step creates value. ♻️

The GOBARdhan Scheme is enabling a circular bioeconomy by transforming agricultural residue, cattle dung, municipal organic waste, press mud and other organic resources into Compressed Bio-Gas (CBG) and… pic.twitter.com/xE6rdzjdzE

— Ministry of Petroleum and Natural Gas #MoPNG (@PetroleumMin) August 7, 2026

Details provided by the government

Union Minister for Information and Broadcasting Ashwini Vaishnaw stated that this scheme would be implemented from the financial year 2026-27 through 2035-36. Under this initiative, the government will provide facilities such as guaranteed gas procurement, fixed pricing, capital assistance, pipeline connections, easy credit, and access to new technology for biogas producers. The government also stated that clean fuel and organic manure would be produced from agricultural residues, cow dung, sugar mill press mud, urban organic waste, and other biomass sources. This will increase the income of farmers and rural communities while providing economic benefits to the country.

CBG plants to be set up across the country

This scheme will build upon existing initiatives such as SATAT, Market Development Assistance, biomass aggregation machinery, pipeline infrastructure development, and the National Bioenergy Programme. Under these schemes, more than 200 CBG plants have been commissioned in the country so far. Under the scheme, city gas distribution companies will procure CBG in accordance with the targets set by the government.