India's GOBARdhan Scheme Seeks to Transform Waste into Clean Energy Gold
The Indian government's approval of the GOBARdhan scheme has been hailed as a 'gamechanger' for India's clean energy transition. According to Petronet LNG MD & CEO A.K. Singh, the initiative can transform waste into wealth while driving rural economic growth.
The GOBARdhan scheme aims to create a new economic ecosystem around agricultural residue, cattle dung, municipal organic waste, and other biomass resources. By converting these materials into clean energy and high-value organic manure, the initiative seeks to address multiple challenges, including waste management, rural income generation, clean fuel production, and greenhouse gas emissions.
The scheme has a total financial outlay of ₹23,731 crore and is scheduled to be implemented from FY 2026-27 to FY 2035-36. The government's assured offtake price of ₹2,110 per MMBtu is seen as a lucrative incentive for CBG producers and project developers.
The initiative has the potential to create nearly 10-fold growth in domestic CBG production, reducing India's dependence on imported natural gas and contributing to a reduction in LNG imports. The scheme also provides a defined trajectory for CBG blending, with targets set at 3% in 2026-27, 4% in 2027-28, and 5% from 2028-29 onwards.