Boosting the Economy of India with Energy Harvesting Bio-CNG Plants

A change in precedence to sustainable energy has driven an increase in bioenergy production globally over the past two decades in the quest for alternatives to fossil fuels. With the diminution of fossil fuels, rising energy demands, and the climate shift, finding sustainable alternative energy sources has become enormously imperative. State-of-the-art approaches are being developed to solve the problem of climate shift by reducing greenhouse gas emissions (GHGs). 

According to Paris Agreement 2015 adopted by 196 parties, which becomes effective on November 2016. Its main objective is to pursue efforts ‘to limit the temperature increase to 1.5 °C above pre-industrial levels’. Conference of parties, set a goal of net zero, and to achieve this ambitious aim of net zero by 2050, one viable option is to adopt low-carbon gases to make a transition toward net zero.
 
Biogas/biomethane/bio-CNG/bio-LNG (as the name differs based on requirements) generation is one of the substitutes, helps to reduce GHG emissions, an environment-friendly, and biowaste utilising energy generation approach. An additional benefit of this technology is the production of fertiliser as a by-product along with energy production.
 
Bio-CNG (compressed natural gas) is a renewable and sustainable energy source derived from organic waste. Setting up bio-CNG production facilities in India offers numerous benefits in terms of energy security, environmental sustainability, and rural development. The following data note highlights the key advantages of adopting bio-CNG in India.
 
The Ministry of New and Renewable Energy (MNRE) estimates that India has a bio-CNG production potential of approximately 62 million metric tonnes (MMT). Numerous initiatives have been developed by the Government of India to accelerate the implementation of bio-CNG projects. Some of the initiatives and schemes with diverse provisions for the promotion of bio-CNG in India are Sustainable Alternative Towards Affordable Transportation (SATAT), MNRE's Waste-to-Energy program, Swachh Bharat Mission (SBM), and Galvanising Organic Bio-Agro Resources (GOBAR-Dhan) plan. 
 
As projected, by 2024, the SATAT program will harvest 15 MMTPA Bio-CNG from 5000 plants annually (~32 percent of the current LNG demand). Through the waste-to-energy program, the government is promoting the setting up of biogas/bio-CNG projects using industrial, urban, agricultural waste and Municipal Solid Waste (MSW).
 
The program offers Central Financial Assistance (CFA) in the form of back ended subsidy for the installation of the project for instance, CFA of ~USD 0.54 million (INR 4 crore) can be provided to set up a 4.8 TPD bio-CNG plant and a maximum CFA of ~USD 1.33 million (INR 10 crore) can be granted per project. The main goal of the GOBAR-Dhan scheme is to manage biowaste like cattle waste by converting them into biogas and organic manure. 
 
In the financial budget 2023 of GoI, 500 new wastes to wealth plants will be established under the scheme out of which 200 are CBG plants for fostering a circular economy. Ideally, one can generate, 10-12 m³ of biogas from 100 kg food waste, which is equivalent to 5-6 kgs of LPG gas per day. Hence importance of establishing bio-CNG infrastructure become very much economically viable in India and can bring several benefits to the nation in various aspects. Some of the below-mentioned positive outcomes of bio-CNG plants are:
 
Renewable Energy Generation

When it comes to carbon credits, bio-CNG emerges as a major project category eligible for it. Let’s throw some insight into this, one carbon credit refers to the reduction or removal of one metric tonne of CO₂ or its equivalent greenhouse gas emissions. According to studies, India has been issuing 35,94 million carbon credits over the period 2010 to 2022. These credits can be bought and traded in the market.
 
Setting up bio-CNG production facilities in India presents a range of significant benefits, including renewable energy generation, environmental sustainability, improved air quality, rural development, and efficient waste management. 

Embracing bio-CNG as an alternative fuel aligns with India's commitment to sustainable development, reducing greenhouse gas emissions, and promoting a cleaner and healthier future.

- Utkarsh Gupta, Founder & CEO, Gruner Renewable Energy Pvt. Ltd.
 
- Anjali Sharma, Senior Analyst-R&D, Gruner Renewable Energy Pvt. Ltd.
 
- Dr. Rajesh Kumar Prasad, Assistant Manager-R&D, Gruner Renewable Energy Pvt. Ltd.