{"id":34891,"date":"2026-07-04T10:36:09","date_gmt":"2026-07-04T05:06:09","guid":{"rendered":"https:\/\/niir.org\/blog\/?p=34891"},"modified":"2026-07-04T10:15:27","modified_gmt":"2026-07-04T04:45:27","slug":"biogas-plant-in-india","status":"publish","type":"post","link":"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/","title":{"rendered":"How to Build a Rs.15 Crore Biogas Plant and Sell Power Back to the Grid in India"},"content":{"rendered":"<p><em><strong>Biogas Plant in India<\/strong><\/em><\/p>\n<p>Biogas is one of the most promising business ventures in clean energy segment in India for a single reason, it is not dependent on the sun or wind. The biogas plant generates energy around the clock with organic waste which most industries and municipalities pay for to dispose of today for a total investment cost of Rs.15 Crore. The <a href=\"https:\/\/mnre.gov.in\">Ministry of New and Renewable Energy (MNRE) <\/a>has facilitated biogas power projects under its biomass power programme by offering capital subsidy up to Rs.25 lakh per MW for grid connected biogas power projects. A game-changer for biogas project bankability is the <a href=\"https:\/\/mopng.gov.in\">SATAT Scheme launched by the Ministry of Petroleum and Natural Gas (MONPNG)<\/a>, giving assured off-take of Compressed Biogas (CBG) from the Oil Marketing Companies (OMCs) at fixed rates.<\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_87_1 counter-hierarchy ez-toc-counter ez-toc-white ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#Why_Biogas_Power_Generation_Is_a_Smart_Industrial_Bet_Right_Now\" >Why Biogas Power Generation Is a Smart Industrial Bet Right Now<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#Get_Detailed_Insights_from_This_Book_Handbook_on_Biogas_and_Its_Applicationsfrom_Waste_Renewable_Resources_with_Engineering_Design_Concepts\" >Get Detailed Insights from This Book: Handbook on Biogas and Its Applications(from Waste &amp; Renewable Resources with Engineering &amp; Design Concepts)<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#Government_Policies_and_Support_for_Biogas_Projects\" >Government Policies and Support for Biogas Projects<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#Top_Business_Ideas_Within_Biogas_Plant_Development\" >Top Business Ideas Within Biogas Plant Development<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#Grid-Connected_Biogas_Power_Plant_Supplying_State_DISCOM\" >Grid-Connected Biogas Power Plant Supplying State DISCOM<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#Compressed_Biogas_CBG_Production_Under_the_SATAT_Scheme\" >Compressed Biogas (CBG) Production Under the SATAT Scheme<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#Get_Detailed_Project_Report_DPR_Power_Generation_Thermal_Hydro_Solar_Wind_Biogas\" >Get Detailed Project Report (DPR): Power Generation: Thermal, Hydro, Solar, Wind &amp; Biogas<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#Integrated_Waste-to-Energy_Model_for_Food_Processing_Clusters\" >Integrated Waste-to-Energy Model for Food Processing Clusters<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#Import-Export_Opportunity_Analysis\" >Import-Export Opportunity Analysis<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#Indian_MSME_Success_Stories_in_Biogas_Energy\" >Indian MSME Success Stories in Biogas Energy<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#GPS_Renewables_%E2%80%94_Technology_and_Project_Development_in_Biogas\" >GPS Renewables \u2014 Technology and Project Development in Biogas<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#Find_high-return_business_ideas_based_on_your_budget_ROI\" >Find high-return business ideas based on your budget &amp; ROI<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#Bharat_Biogas_Energy_Ltd_%E2%80%94_Scaling_the_SATAT_Opportunity\" >Bharat Biogas Energy Ltd \u2014 Scaling the SATAT Opportunity<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#How_NPCS_Supports_Biogas_Project_Development\" >How NPCS Supports Biogas Project Development<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#Conclusion\" >Conclusion<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#Related_Article_Compressed_Biogas_CBG_Plants_A_Bankable_Green_Energy_Business_for_New_Entrepreneurs\" >Related Article: Compressed Biogas (CBG) Plants: A Bankable Green Energy Business for New Entrepreneurs<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#Biogas_Plant_Project_%E2%80%94_Key_Parameters\" >Biogas Plant Project \u2014 Key Parameters<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#Key_References_and_Government_Resources\" >Key References and Government Resources<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-19\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#Frequently_Asked_Questions_FAQ\" >Frequently Asked Questions (FAQ)<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-20\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#What_is_the_SATAT_scheme_and_how_do_I_register\" >What is the SATAT scheme and how do I register?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-21\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#What_government_subsidies_are_available_for_biogas_plants\" >What government subsidies are available for biogas plants?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-22\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#What_feedstock_can_be_used_for_a_biogas_plant\" >What feedstock can be used for a biogas plant?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-23\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#What_environmental_clearances_are_required_for_a_biogas_plant\" >What environmental clearances are required for a biogas plant?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-24\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/#How_do_I_sell_biofertilizer_from_the_biogas_plant\" >How do I sell biofertilizer from the biogas plant?<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Why_Biogas_Power_Generation_Is_a_Smart_Industrial_Bet_Right_Now\"><\/span><strong>Why Biogas Power Generation Is a Smart Industrial Bet Right Now<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>India produces more than 550 million tonnes of biomass every year \u2013 crop residue, municipal solid waste, effluent from food processing industries, poultry waste, and dairy waste. Only less than 5% of this is currently used for energy generation. State electricity boards, on the other hand, face challenges in fulfilling their Renewable Purchase Obligations (RPOs), and biogas power can serve as a renewable energy source. Also, the production of biofertilizer from bio-gas digestion has high demand among the organic farmers. A successful biogas plant generates revenue on three fronts; sale of gas\/power, fee from gate charge of waste suppliers, sale of biofertilizer. IBEF energy sector report offers market size details for the bioenergy potential in India.<\/p>\n<h3 style=\"text-align: center;\"><span class=\"ez-toc-section\" id=\"Get_Detailed_Insights_from_This_Book_Handbook_on_Biogas_and_Its_Applicationsfrom_Waste_Renewable_Resources_with_Engineering_Design_Concepts\"><\/span><strong data-start=\"151\" data-end=\"191\">Get Detailed Insights from This Book: <\/strong><a href=\"https:\/\/www.niir.org\/books\/book\/handbook-on-biogas-its-applications-from-waste-renewable-resources-with-engineering-design-concepts-2nd-revised-edition\/isbn-9789381039779\/zb,,72,a,0,0,a\/index.html\">Handbook on Biogas and Its Applications(from Waste &amp; Renewable Resources with Engineering &amp; Design Concepts)<\/a><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<h2><span class=\"ez-toc-section\" id=\"Government_Policies_and_Support_for_Biogas_Projects\"><\/span><strong>Government Policies and Support for Biogas Projects<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>CBG producers will be able to sell compressed biogas to oil marketing companies (OMCs) at a fixed price of Rs.46 per kg under the SATAT Scheme. GOBAR-Dhan Scheme under the <a href=\"https:\/\/jalshakti-dowr.gov.in\">Ministry of Jal Shakti<\/a> is providing technical assistance and viability gap funding for compressed biogas plant. The MNRE has been providing capital subsidy of up to Rs.25 lakh per MW for biogas power projects. State governments in Punjab, Haryana, and Maharashtra also offer additional state-level subsidies for biogas plants associated with poultry and dairy farms. NABARD offers subsidised loan for the biogas projects under the Priority Sector lending norms. SECI provides coordination and facilitation in Renewable Power Purchase including biogas generation for the State DISCOMs.(Biogas Plant in India<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Top_Business_Ideas_Within_Biogas_Plant_Development\"><\/span><strong>Top Business Ideas Within Biogas Plant Development<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><span class=\"ez-toc-section\" id=\"Grid-Connected_Biogas_Power_Plant_Supplying_State_DISCOM\"><\/span><strong>Grid-Connected Biogas Power Plant Supplying State DISCOM<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>For a 1 MW Biogas Power Plant, the requirement of feedstock is 25-30 tonnes per day and the annual production of electricity is about 18-22 lakh units.<\/p>\n<p class=\"PDq2pG_selectionAnchorContainer\" data-start=\"138\" data-end=\"290\">The State DISCOM purchases the power generated under a long-term Power Purchase Agreement at Rs. 5.5\u20137 per unit, which provides a stable revenue stream.\u00a0PPA tenders are made available by <a href=\"https:\/\/seci.co.in\">SECI <\/a>or directly to the state DISCOMs. The PPA period is usually 10-15 years long, giving investors the certainty of income. Please check with your state DISCOM on MNRE portal for PPA tariff information specific to the state.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Compressed_Biogas_CBG_Production_Under_the_SATAT_Scheme\"><\/span><strong>Compressed Biogas (CBG) Production Under the SATAT Scheme<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The Government of India&#8217;s SATAT scheme enables CBG producers to supply compressed biogas to oil marketing companies at a pre-determined price of Rs. 46 per kg. A plant with a processing capacity of 50-80 tonnes of feedstock can produce 2,000-4,000 kg of CBG per day. This can generate daily revenue ranging from Rs. 92,000 to Rs. 1.84 lakh from CBG sales alone. Under the SATAT scheme, oil marketing companies issue Letters of Intent (LoIs) through the SATAT portal. These LoIs provide assured off-take before plant commissioning, significantly improving the bankability of projects and facilitating access to financing.<\/p>\n<h3 style=\"text-align: center;\"><span class=\"ez-toc-section\" id=\"Get_Detailed_Project_Report_DPR_Power_Generation_Thermal_Hydro_Solar_Wind_Biogas\"><\/span>Get Detailed Project Report (DPR): <a href=\"https:\/\/www.niir.org\/profile-projects-reports\/profiles\/power-project-power-generation-plants-hydroelectric-power-gas-fired-power-station-coal-thermal-water-hydro-wind-solar-agro-biogas-based-power-plants-electrical-power-industry-alternative-renewable-power-generation-electricity-generation\/z,,7a,0,a\/index.html\">Power Generation: Thermal, Hydro, Solar, Wind &amp; Biogas<\/a><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<figure id=\"attachment_34893\" aria-describedby=\"caption-attachment-34893\" style=\"width: 848px\" class=\"wp-caption alignnone\"><img fetchpriority=\"high\" decoding=\"async\" class=\"size-full wp-image-34893\" src=\"https:\/\/niir.org\/blog\/wp-content\/uploads\/2026\/07\/Gemini_Generated_Image_bqtpecbqtpecbqtp-1.webp\" alt=\"Biogas Plant in India for renewable energy generation\" width=\"848\" height=\"1264\" srcset=\"https:\/\/www.niir.org\/blog\/wp-content\/uploads\/2026\/07\/Gemini_Generated_Image_bqtpecbqtpecbqtp-1.webp 848w, https:\/\/www.niir.org\/blog\/wp-content\/uploads\/2026\/07\/Gemini_Generated_Image_bqtpecbqtpecbqtp-1-201x300.webp 201w, https:\/\/www.niir.org\/blog\/wp-content\/uploads\/2026\/07\/Gemini_Generated_Image_bqtpecbqtpecbqtp-1-687x1024.webp 687w, https:\/\/www.niir.org\/blog\/wp-content\/uploads\/2026\/07\/Gemini_Generated_Image_bqtpecbqtpecbqtp-1-768x1145.webp 768w, https:\/\/www.niir.org\/blog\/wp-content\/uploads\/2026\/07\/Gemini_Generated_Image_bqtpecbqtpecbqtp-1-512x763.webp 512w\" sizes=\"(max-width: 848px) 100vw, 848px\" \/><figcaption id=\"caption-attachment-34893\" class=\"wp-caption-text\">A commercial biogas plant converting organic waste into renewable energy in India.<\/figcaption><\/figure>\n<h3><span class=\"ez-toc-section\" id=\"Integrated_Waste-to-Energy_Model_for_Food_Processing_Clusters\"><\/span><strong>Integrated Waste-to-Energy Model for Food Processing Clusters<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>There are several clusters of food processing industries that generate large amounts of organic waste. These include sugar mills, rice mills, vegetable processing industries, and fish processing industries. Entrepreneurs can use these industries as a source of feedstock and provide waste management solutions. They can charge Rs. 200\u2013500 per tonne for accepting waste and generate energy and biofertilizer through biogas plants. The Ministry of Food Processing Industries publishes a list of food processing clusters that can help identify potential feedstock sources for biogas plants.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Import-Export_Opportunity_Analysis\"><\/span><strong>Import-Export Opportunity Analysis<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>India is also promoting biogas technology, project skills and biofertilizer products to the African countries, Bangladesh and Sri Lanka. Operational expertise in the construction and management of biogas plants can be added to the skill sets of entrepreneurs who can tender\/eat for EPC projects in these markets with the assistance of <a href=\"https:\/\/www.eximbankindia.in\">Exim Bank&#8217;s<\/a> Lines of Credit. The advanced gas purification membranes and high-efficiency biogas engine-gensets from Germany and the Netherlands enhance the efficiency of plants \u2013 assess the upgrades as plant size grows on the import side.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Indian_MSME_Success_Stories_in_Biogas_Energy\"><\/span><strong>Indian MSME Success Stories in Biogas Energy<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><span class=\"ez-toc-section\" id=\"GPS_Renewables_%E2%80%94_Technology_and_Project_Development_in_Biogas\"><\/span><strong>GPS Renewables \u2014 Technology and Project Development in Biogas<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Prabhat Singh and Abhijit Holkar developed a proprietary technology for biogas upgrading, and installed dozens of plants in India and overseas. By the integration of engineering innovation with commercial project development, the company was able to scale up from a technology start-up to a developed EPC player in the biogas market. GPS Renewables attracted marquee customers like large breweries, food processors and municipalities, and exported its technology internationally. They are involved in projects according to the <a href=\"https:\/\/mopng.gov.in\">SATAT framework<\/a>, which shows that the scheme has commercial viability.(Biogas Plant in India)<\/p>\n<h3 style=\"text-align: center;\"><span class=\"ez-toc-section\" id=\"Find_high-return_business_ideas_based_on_your_budget_ROI\"><\/span><a href=\"https:\/\/www.niir.org\/startup-selector\">Find high-return business ideas based on your budget &amp; ROI<\/a><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<h3><span class=\"ez-toc-section\" id=\"Bharat_Biogas_Energy_Ltd_%E2%80%94_Scaling_the_SATAT_Opportunity\"><\/span><strong>Bharat Biogas Energy Ltd \u2014 Scaling the SATAT Opportunity<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Bharat Biogas Energy Ltd was one of the early startup companies in India&#8217;s CBG industry. The company established its plants under the SATAT scheme and obtained Letters of Intent (LOIs) from Oil Marketing Companies (OMCs) for the off-take of CBG. It demonstrated the commercial viability of the CBG business model through successful operations. The company also signed long-term agreements with poultry farms, dairy cooperatives, and food processing companies to ensure a reliable feedstock supply. Its success encouraged other entrepreneurs to view the SATAT scheme as a viable commercial opportunity. It also increased confidence among banks and NBFCs, leading them to provide financial support and incentives for such projects.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"How_NPCS_Supports_Biogas_Project_Development\"><\/span><strong>How NPCS Supports Biogas Project Development<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>At Niir Project Consultancy Services (NPCS) we offer professional and expertly designed Market Survey cum Detailed Techno-Economic Feasibility Reports (DPRs) for establishing new industries or businesses. Our reports also include manufacturing details, market research and demand analysis, process flow diagrams, product mix and capacity planning, details of machinery and raw materials, and complete project financials with profitability analysis. For detailed Project reports on Biogas Plant visit us at <a href=\"http:\/\/www.niir.org\">www.niir.org<\/a><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span><strong>Conclusion<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>A Rs.15 Crore <a href=\"https:\/\/www.entrepreneurindia.co\/blogs\/cbg-business-opportunity-in-india\/\">biogas plant<\/a> is one of the few energy investments in India today that combines government subsidy from MNRE, guaranteed off-take through SATAT, multiple revenue streams, and circular economy credentials. The entrepreneur who secures reliable feedstock supply and builds a technically competent operations team will find that a biogas plant is not just a good energy business, but one of the most resilient infrastructure assets an MSME can own in India today.<\/p>\n<h3 class=\"wp-block-heading has-text-align-center\" style=\"text-align: center;\"><span class=\"ez-toc-section\" id=\"Related_Article_Compressed_Biogas_CBG_Plants_A_Bankable_Green_Energy_Business_for_New_Entrepreneurs\"><\/span>Related Article: <a href=\"https:\/\/niir.org\/blog\/cbg-business-india\/\">Compressed Biogas (CBG) Plants: A Bankable Green Energy Business for New Entrepreneurs<\/a><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<h2><span class=\"ez-toc-section\" id=\"Biogas_Plant_Project_%E2%80%94_Key_Parameters\"><\/span><strong>Biogas Plant Project \u2014 Key Parameters<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<table>\n<tbody>\n<tr>\n<td><strong>Parameter<\/strong><\/td>\n<td><strong>Details<\/strong><\/td>\n<\/tr>\n<tr>\n<td><strong>Total Project Investment<\/strong><\/td>\n<td>Rs.12\u201318 Crore (1 MW or equivalent CBG plant)<\/td>\n<\/tr>\n<tr>\n<td><strong>Feedstock Requirement<\/strong><\/td>\n<td>25\u201380 tonnes per day<\/td>\n<\/tr>\n<tr>\n<td><strong>Key Government Scheme<\/strong><\/td>\n<td>SATAT Scheme, MNRE Biomass Programme, GOBAR-Dhan<\/td>\n<\/tr>\n<tr>\n<td><strong>CBG Sale Price (SATAT)<\/strong><\/td>\n<td>Rs.46 per kg to OMCs<\/td>\n<\/tr>\n<tr>\n<td><strong>Power Sale Tariff (Grid)<\/strong><\/td>\n<td>Rs.5.5\u20137 per unit under PPA<\/td>\n<\/tr>\n<tr>\n<td><strong>Additional Revenue<\/strong><\/td>\n<td>Biofertiliser sales Rs.3,000\u20135,000 per tonne<\/td>\n<\/tr>\n<tr>\n<td><strong>Capital Subsidy Available<\/strong><\/td>\n<td>Up to Rs.25 lakh per MW (MNRE)<\/td>\n<\/tr>\n<tr>\n<td><strong>Payback Period<\/strong><\/td>\n<td>5\u20137 years post subsidy<\/td>\n<\/tr>\n<tr>\n<td><strong>PPA Tenure<\/strong><\/td>\n<td>10\u201315 years with state DISCOM<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><iframe  id=\"_ytid_36633\"  width=\"750\" height=\"421\"  data-origwidth=\"750\" data-origheight=\"421\" src=\"https:\/\/www.youtube.com\/embed\/Fai87EQYm3M?enablejsapi=1&#038;autoplay=0&#038;cc_load_policy=0&#038;cc_lang_pref=&#038;iv_load_policy=1&#038;loop=0&#038;rel=1&#038;fs=1&#038;playsinline=0&#038;autohide=2&#038;theme=dark&#038;color=red&#038;controls=1&#038;disablekb=0&#038;\" class=\"__youtube_prefs__  epyt-is-override  no-lazyload\" title=\"YouTube player\"  allow=\"fullscreen; accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen data-no-lazy=\"1\" data-skipgform_ajax_framebjll=\"\"><\/iframe><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Key_References_and_Government_Resources\"><\/span><strong>Key References and Government Resources<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li><a href=\"https:\/\/mnre.gov.in\">MNRE \u2014 Ministry of New and Renewable Energy<\/a> \u2014 Biomass and biogas power programme, capital subsidies, RPO compliance<\/li>\n<li><a href=\"https:\/\/mopng.gov.in\">SATAT Scheme \u2014 Ministry of Petroleum and Natural Gas<\/a> \u2014 CBG off-take at Rs.46\/kg from OMCs, LOI application portal<\/li>\n<li><a href=\"https:\/\/jalshakti-dowr.gov.in\">Ministry of Jal Shakti \u2014 GOBAR-Dhan Scheme<\/a> \u2014 Compressed biogas plant support, viability gap funding<\/li>\n<li><a href=\"https:\/\/www.nabard.org\">NABARD<\/a> \u2014 Priority sector lending for biogas projects in rural areas<\/li>\n<li><a href=\"https:\/\/seci.co.in\">SECI \u2014 Solar Energy Corporation of India<\/a> \u2014 Renewable power purchase coordination including biogas<\/li>\n<li><a href=\"https:\/\/www.eximbankindia.in\">EXIM Bank of India<\/a> \u2014 Lines of credit for biogas technology exports to Africa and South Asia<\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Frequently_Asked_Questions_FAQ\"><\/span><strong>Frequently Asked Questions (FAQ)<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><span class=\"ez-toc-section\" id=\"What_is_the_SATAT_scheme_and_how_do_I_register\"><\/span><strong>What is the SATAT scheme and how do I register?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>SATAT, Government of India&#8217;s program, has guaranteed CBG offtake from OMCs at Rs46\/kg. To apply for LOI from any OMC please log into SATAT portal available on MoPNG website. ThisLOIwill considerably improve your project bankability for lending.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"What_government_subsidies_are_available_for_biogas_plants\"><\/span><strong>What government subsidies are available for biogas plants?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The Ministry of New and Renewable Energy (MNRE) offers a capital subsidy of Rs 25 lakh\/MW for grid connected biogas power plants. The ministry of Jal Shakti\u2019s scheme &#8211; GOBAR-Dhan &#8211; provides viability gap funding and NABARD lends loans at concessional rates from its climate finance.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"What_feedstock_can_be_used_for_a_biogas_plant\"><\/span><strong>What feedstock can be used for a biogas plant?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>A wide range of organic materials can serve as feedstock: crop residue, animal dung, food waste, vegetable market waste, municipal solid waste, and industrial organic effluent from breweries, dairies, and food processing plants. The MNRE publishes feedstock-specific biogas yield data that helps in plant sizing.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"What_environmental_clearances_are_required_for_a_biogas_plant\"><\/span><strong>What environmental clearances are required for a biogas plant?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>A biogas plant obtains the necessary approvals and registrations, including Consent to Establish and Consent to Operate from the State Pollution Control Board (SPCB), a No Objection Certificate (NOC) for grid connection from the DISCOM, an NOC from the local municipality, and registration under applicable waste management rules when handling municipal or industrial waste.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"How_do_I_sell_biofertilizer_from_the_biogas_plant\"><\/span><strong>How do I sell biofertilizer from the biogas plant?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Farmers, farmer producer organisations, and organic farming networks can purchase biofertilizer\u2014the digested organic matter output\u2014directly at a price of Rs. 3,000\u20135,000 per tonne. For export of biofertilizer, register with APEDA and obtain DGFT IEC code.<\/p>\n","protected":false},"excerpt":{"rendered":"Biogas Plant in India Biogas is one of the most promising business ventures in clean energy segment in&hellip;","protected":false},"author":22,"featured_media":34892,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":111,"csco_display_header_overlay":false,"csco_singular_sidebar":"","csco_page_header_type":"","footnotes":""},"categories":[17563,17547,17374],"tags":[20035,20038,20036,20039,20037,20040,20041],"industry":[],"class_list":["post-34891","post","type-post","status-publish","format-standard","has-post-thumbnail","category-renewable-energy","category-eco-friendly-sustainable-business","category-waste-management-recycling","tag-biogas-plant-business-india","tag-biogas-power-plant-india","tag-commercial-biogas-plant-india","tag-grid-connected-biogas-plant","tag-industrial-biogas-plant-india","tag-renewable-energy-business-india","tag-waste-to-energy-plant-india","cs-entry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Biogas Plant in India: How to Build a \u20b915 Crore Project<\/title>\n<meta name=\"description\" content=\"Learn how to build a \u20b915 crore biogas plant in India, avail government subsidies, benefit from the SATAT scheme, and sell power to the grid.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Biogas Plant in India: How to Build a \u20b915 Crore Project\" \/>\n<meta property=\"og:description\" content=\"Learn how to build a \u20b915 crore biogas plant in India, avail government subsidies, benefit from the SATAT scheme, and sell power to the grid.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.niir.org\/blog\/biogas-plant-in-india\/\" \/>\n<meta property=\"og:site_name\" content=\"Niir Project Consultancy Services\" \/>\n<meta property=\"article:published_time\" content=\"2026-07-04T05:06:09+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.niir.org\/blog\/wp-content\/uploads\/2026\/07\/ChatGPT-Image-Jul-4-2026-09_54_57-AM.webp\" \/>\n\t<meta property=\"og:image:width\" content=\"1672\" \/>\n\t<meta property=\"og:image:height\" content=\"941\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/webp\" \/>\n<meta name=\"author\" content=\"P.K. 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A published author of several business books on startups, manufacturing opportunities, and practical entrepreneurship, P. K. Tripathi is known for his grounded, execution-focused approach that cuts through theory to deliver actionable insights. Through his writing and consulting work, he continues to equip aspiring entrepreneurs with the real-world knowledge, industry intelligence, and practical strategies needed to thrive in competitive markets.","sameAs":["https:\/\/www.linkedin.com\/in\/p-k-tripathi-539749406\/"],"url":"https:\/\/www.niir.org\/blog\/author\/p-k-tripathi\/"}]}},"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/www.niir.org\/blog\/wp-json\/wp\/v2\/posts\/34891","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.niir.org\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.niir.org\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.niir.org\/blog\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/www.niir.org\/blog\/wp-json\/wp\/v2\/comments?post=34891"}],"version-history":[{"count":2,"href":"https:\/\/www.niir.org\/blog\/wp-json\/wp\/v2\/posts\/34891\/revisions"}],"predecessor-version":[{"id":34895,"href":"https:\/\/www.niir.org\/blog\/wp-json\/wp\/v2\/posts\/34891\/revisions\/34895"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.niir.org\/blog\/wp-json\/wp\/v2\/media\/34892"}],"wp:attachment":[{"href":"https:\/\/www.niir.org\/blog\/wp-json\/wp\/v2\/media?parent=34891"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.niir.org\/blog\/wp-json\/wp\/v2\/categories?post=34891"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.niir.org\/blog\/wp-json\/wp\/v2\/tags?post=34891"},{"taxonomy":"industry","embeddable":true,"href":"https:\/\/www.niir.org\/blog\/wp-json\/wp\/v2\/industry?post=34891"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}