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HomeAll NewsBiogas (CBG)Indian Biogas Association pitches for Rs 10,000/unit subsidy for household biogas plants

Indian Biogas Association pitches for Rs 10,000/unit subsidy for household biogas plants

In a move aimed at boosting clean energy access in rural India, the Indian Biogas Association (IBA) has proposed a nationwide scheme to revive five million non-operational biogas units. The association has called for a subsidy of ₹10,000 per unit, estimating the total cost to the government at ₹5,000 crore — a sum it claims can be recovered within two years, reports Business Standard.

IBA Chairman Gaurav Kedia said that a large number of biogas plants across the country already have basic infrastructure in place but remain unused due to lack of funding, maintenance, and incentives. He said the association is urging the government to take the lead in restoring these systems to full functionality.

“We need an ambitious, goal-driven campaign—similar to the Swachh Bharat Abhiyan—to revive these plants. Right now, most of them are idle, not because they don’t work, but because they haven’t been maintained or supported,” Kedia said.

According to the IBA, the government could follow a model similar to the rural sanitation scheme, which provided ₹12,000 per household for building toilets. A one-time grant of ₹10,000 for each biogas unit, they argue, would be enough to make them operational again and bring immediate benefits.

Kedia said that making these five million units functional could significantly cut down the need for subsidized LPG cylinders distributed under the Ujjwala Yojana. He estimated annual savings of ₹3,618 crore if all the biogas plants start operating, reducing dependence on imported fuel and providing a consistent cooking gas alternative to rural households.

“Biogas gives families a reliable source of fuel and builds confidence in clean energy,” he said, adding that regular maintenance checks should also be part of the government’s support system. These quarterly inspections, he suggested, would help plants run efficiently, prevent small issues from becoming major breakdowns, and increase satisfaction among users.

He further emphasized that proper maintenance would not only boost performance and lifespan of the units but also generate rural jobs and prevent wasteful spending of government subsidies.

Kedia said the goal is not just to promote biogas but to create broader rural benefits—managing solid waste, producing organic manure, and making communities more sustainable. According to IBA data, one small biogas unit can prevent around six tonnes of CO₂ emissions each year and reduce the need for five tonnes of firewood, helping combat indoor pollution and deforestation.

Economically, states could collectively save over ₹50,000 crore through better waste management, reduced healthcare costs, and lower import bills, he added.

“This is a chance for India to lead the world in clean, community-based energy. With the right investment, we can become the global standard,” Kedia said.

The IBA also plans to recommend aligning the initiative with existing government programs like GOBARdhan and SATAT to ensure smooth implementation and broader impact.

The Indian Biogas Association is the country’s largest professional body for stakeholders in the biogas sector, representing technology providers, plant operators, project developers, and engineers working to advance the use of biogas nationwide.

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