The CBG sector now has a ten-year floor.
GOBARdhan — the National Unified Scheme for Compressed Biogas — puts offtake, price, capital, pipelines and credit for the whole CBG value chain under one framework, from FY 2026-27 to FY 2035-36. This page states what was approved, what changed, and what it means for the way we build plants. Every figure carries its source.
PIB release, 6 Aug 2026
PIB release, 6 Aug 2026
PM India statement, 6 Aug 2026
Business Standard, 6 Aug 2026
Six components, one platform.
Administered by MoPNG, the scheme brings the entire value chain — from feedstock to pipeline — under a single framework, with the stated aim of a near ten-fold increase in domestic CBG production.
Guaranteed demand for CBG, replacing the voluntary expression-of-interest route that SATAT relied on. Offtake certainty is the single largest change to a plant's bankability.
₹2,110 per MMBTU under a government-backed pricing framework with a minimum ten-year horizon — consumer affordability protected through Government support and a market-based cost-sharing mechanism.
Up to ₹2 crore per tonne per day of installed CBG capacity for eligible greenfield projects — extending beyond core plant machinery to feedstock aggregation and organic-manure processing assets. Brownfield capacity expansions are also eligible.
Cluster-based and standalone pipeline infrastructure connecting CBG plants to trunk pipelines and City Gas Distribution networks, so gas moves by pipe rather than by road.
A dedicated guarantee mechanism sharing a portion of lender risk on eligible MSME-based CBG projects, to widen the flow of institutional credit.
Support for district-level implementation, feedstock mapping and capacity building — the ground layer that decides whether a plant actually receives its tonnes.
What actually changed for a plant's economics.
The floor moves under every model on the ladder.
An administered price with a ten-year horizon is exactly the input a greenfield biomass plant lacked. Our Sangola research plant is a greenfield project commissioning inside the scheme window (1 March 2027). Eligibility follows the component guidelines when notified — we do not assume it in our numbers.
Capital assistance that reaches organic-manure processing assets recognises the second product formally. Our plants are laid out with the digestate line as a product line, not a disposal step; the scheme now pays attention to the same half of the loop we do.
Cluster pipelines to trunk lines and CGD networks are the backbone a BioCNG Park is built around. Evacuation by pipe removes the cascade-truck cost and the road risk from every plant in a cluster.
The credit guarantee and assured offtake shorten the diligence path for mill-attached and municipal plants, where feedstock is contracted but sponsors are often first-time borrowers in this sector.
The Ecosystem Challenge Fund's district-level feedstock mapping aligns with how we already begin: walking and counting the catchment before sizing a digester.
Zero-support case first; eligible support added only once sanctioned, shown separately to lenders. The scheme improves the case — it is never the reason the case works.
Maharashtra added its own floor in May.
The Maharashtra State CBG Policy 2026, released on 5 May 2026, sits beneath the national scheme for plants in our home state — including Sangola. It prioritises municipal organic waste and agricultural residue as feedstock and empowers local bodies to segregate and supply it.
Up to ₹75 lakh per tonne of capacity, with an overall ceiling of ₹15 crore per project; ₹500 crore proposed for FY 2026-27.
Collector-led District Compressed Biogas Coordination Committees, under an Executive Committee and a Chief Secretary-led steering committee — a defined route for approvals and feedstock.
Approved is not the same as operational.
Cabinet approval sets the framework and the outlay. MoPNG has since issued an implementing Office Memorandum; component-wise operational guidelines — the documents that define eligibility, application routes and disbursement — follow from the Ministry. Until a project is sanctioned under those guidelines, no support figure belongs in its base case. That is how we treat it, and how we would advise any co-investor to.
Policy sets the floor. The plant sets the return.
See how a plant turns the framework into gas, fertiliser and a catchment that stays.