The state-run company, GAIL Limited recently signed an agreement with Carbon Clean Solutions Limited (CCSL) for a strategic partnership and exploring project development opportunities in India’s compressed biogas (CBG) value chain. GAIL and CCSL will explore opportunities in areas, such as feedstock arrangement, production technologies, gas offtake arrangements, as well as transportation, marketing and distribution of CBG. CCSL will initially build four CBG plants using their own funding, technology, and expertise. These plants will be based on 10-year CBG offtake agreements with GAIL or its associated companies. After completing the initial plants, GAIL and CCSL may further begin developing up to 100 CBG plants in India.
India imports 80 per cent of its crude oil requirements. Developing alternative fuels will help reduce India’s dependence on such imports. The government plans to roll out 5,000 CBG plants across India in a phased manner. This initiative is expected to generate direct employment for 75,000 people and produce 50 million tonnes of bio-manure for crops.