India’s compressed bio gas network expands to 132 plants: Hardeep Singh Puri

India has expanded its compressed bio gas (CBG) network to 132 operational plants with a combined production capacity of 920 tonnes per day , Union Minister for Petroleum and Natural Gas Hardeep Singh Puri said on Friday, highlighting the government’s effort to convert agricultural and organic waste into clean energy under the SATAT (Sustainable Alternative Towards Affordable Transportation) initiative.

Launched in October 2018 , SATAT was designed to create a nationwide ecosystem for CBG production , linking waste management, clean fuel generation and rural livelihoods. Under the programme, public sector oil and gas marketing companies such as IOCL, BPCL, HPCL, GAIL and IGL invite entrepreneurs to set up CBG plants and offer long-term offtake agreements, providing price certainty and market access to producers. The fuel is then blended into the existing gas and transport fuel network.

CBG produced under SATAT is primarily used as a transport fuel for vehicles and as an industrial energy source , helping reduce dependence on imported fossil fuels while cutting greenhouse gas emissions. The initiative also creates an additional income stream for farmers by monetising crop residue, cattle waste and other organic matter that would otherwise be burned or dumped.

Most of the 132 plants are privately owned and operated , with public sector firms acting as buyers rather than producers. In some cases, PSUs have formed joint ventures with private renewable energy companies , combining assured procurement with private sector execution. Large energy groups, along with several mid-sized and regional companies, have invested in plants across the country.

The CBG facilities are mainly located in agriculture-intensive states , led by Uttar Pradesh , followed by Maharashtra, Haryana, Punjab and Gujarat , where steady feedstock availability supports production.

The minister also pointed to wider energy sector reforms, including the offering of 50 new exploration and production blocks across oil, gas and coal-bed methane assets, backed by regulatory changes such as the Oilfields (Regulation and Development) Amendment Act, 2025 , aimed at improving ease of doing business and strengthening energy security.

While the rise to 132 CBG plants reflects tangible progress under SATAT, industry feedback suggests that capacity utilisation remains uneven. Several plants are newly commissioned or operating below optimal levels due to feedstock supply gaps, technical stabilisation and logistics, with average utilisation estimated at 20-60 per cent . Globally, Europe and the United States continue to dominate biogas and biomethane production, leaving India a smaller but fast-growing player. The SATAT framework has clearly moved the sector beyond pilot stages, but its long-term success will depend on improving operational efficiency, ensuring steady feedstock supply and scaling up consistent production on the ground.