Gandhinagar: Gujarat has earmarked Rs 60 crore in its state budget to promote Bio-CNG plants, aiming to convert organic waste into clean energy while strengthening rural incomes, ANI reported.
The initiative, aligned with Prime Minister Narendra Modi’s vision of “Waste to Wealth” and self-reliance, will support the setting up of new plants through cooperative milk societies across the state.
Officials said the move is inspired by the success of the Bio-CNG model developed by Banas Dairy in Banaskantha, which has been operational for six years. The model uses cattle dung to produce compressed biogas and organic fertilisers, helping farmers earn additional income while generating clean fuel.
The state plans to establish around 10 Bio-CNG plants in phases. In Banaskantha alone, five large plants are being developed, of which two are already operational and one is nearing completion.
Each plant processes about 100 metric tonnes of dung daily and is built at an estimated cost of Rs 50–55 crore. The facilities produce compressed biogas, along with solid and liquid organic fertilisers, creating multiple revenue streams.
Farmers from 20 to 25 nearby villages supply dung to the plants and are paid Rs 1 per kilogram, providing additional income to around 400–450 families. The collection and transport process also generates local employment.
The plants produce around 1,800 kilograms of Bio-CNG daily, along with large quantities of organic fertilisers, generating an estimated annual revenue of up to Rs 12 crore per plant.
Officials said the initiative not only supports clean energy production but also promotes sustainable farming and waste management. The model is now being adopted by several other states, highlighting its potential to contribute to both economic growth and environmental protection.
