MUMBAI: Mukesh Ambani’s Reliance Industries (RIL) and Gautam Adani-led Adani Total Gas (ATGL) are planning to set up 10 compressed biogas (CBG) plants each, across the country, senior executives aware of the development said.
These plants will be of upto 30 tonnes per annum capacity. Five plants will be set in the next five years. The rest would come up later. The companies would invest up to Rs 2500 crore each in setting up these plants.
Compressed Bio Gas or CBG is a greener fuel produced from waste/ biomass sources. It has properties similar to Compressed Natural Gas (CNG) and can be used for automotive, industrial and commercial uses.
“RIL and Adani Group have identified a few sites where they would be setting these plants up. Currently they have decided to set up five plants. The rest five would be set up after that as feedstock availability is an issue,” said the first senior executive mentioned above.
RIL did not respond to an email query sent. Adani Total Gas spokesperson in an emailed response said that the company plans to set up five CBG plants in the next five years at strategic locations. Currently, a plant with capacity of 600 tonnes per day is under construction in Uttar Pradesh and is expected to begin CBG production by this financial year-end.
“CBG plants are a natural strategic investment towards supplementing ATGL city gas distribution and providing clean energy. This aligns with India’s commitment to the environment and also the country’s COP26 commitments,” ATGL spokesperson said.Each plant would have feedstock processing capacity of 250-500 tonnes per day, with CBG production in the range of 10 tonnes per day (TPD) to 20 TPD. The estimated investment in the Uttar Pradesh unit is around Rs 750 crore.The company, ATGL said, is working on a pan-India basis, covering segments for agricultural residue as well as municipal solid waste “We expect CBG to be an important source of alternative energy, which is one of the focus areas of the central government,” ATGL spokesperson said.
Jio-bp, a fuel retail joint venture between Reliance Industries and British oil major BP, has begun retailing compressed biogas (CBG) and bio-CNG (B-CNG), both of which can be used in place of compressed natural gas in CNG-powered vehicles. Five of RIL’s CBG plants will be in Gujarat and five would be across the country, the second official quoted above, added.
India currently has nearly 30 CBG plants under operation. Industry players expect the sector to attract over $2 billion investments in the next five to seven years. Under its Satat scheme, the government announced an ambitious plan of touching 15 million metric tonnes per annum, which is roughly 40,000 tonnes per day.