On 7 August 2026, Union Cabinet, chaired by PM Narendra Modi approved the GOBARdhan National Circular Bioenergy Scheme.
- Total outlay: ₹23,731 crore
- Implementation period: FY 2026-27 to FY 2035-36
- Main focus: Boost Compressed Biogas (CBG) production and convert organic waste into clean energy and economic resources.
- CBG target: Increase domestic CBG production nearly ten-fold
- Feedstock: Agricultural residue, cattle dung, press mud, municipal organic waste and other biomass.
- CBG administered price: ₹2,110/MMBTU, with a minimum 10-year pricing framework. MMBTU stands for Metric Million British Thermal Unit
- Capital assistance: Up to ₹2 crore per tonne per day (TPD) of installed CBG capacity for eligible greenfield projects.
- CBG blending obligations: 3% in FY 2026-27, 4% in FY 2027-28 and 5% from FY 2028-29 onwards.
- Key support: Pipeline infrastructure, credit guarantee mechanism and CBG Ecosystem Challenge Fund.
- Significance: Promotes energy security, waste-to-wealth, rural livelihoods, reduced fossil-fuel dependence and Atmanirbhar Bharat.
