The Indian Biogas Association (IBA) shares with ENERSIDER that India’s biogas sector holds transformative potential for clean energy and rural upliftment. They emphasize the need for streamlined approvals, pricing parity with LNG, and carbon market integration. With global best practices and innovation, IBA sees biogas as a vital pillar of India’s green and circular economy.
Strategic Partner – Indian Biogas Association (IBA)
POINT OF VIEW
Although India’s biogas policy ecosystem has made impressive progress, some significant changes are still required to fully realise its potential. First, it is necessary to guarantee consistency in single-window clearances and state-level approvals. Second, level competition with LNG will result from the integration of biogas into the national gas grid, supported by pricing parity. Third, bio-CNG and biogas with validated protocols need to be officially recognised by carbon markets. Furthermore, we implore legislators to encourage innovation by funding R&D, particularly in the areas of feedstock flexibility and intelligent operations. Biogas has the potential to be a vital component of India’s energy transition and rural development, rather than merely a waste solution, if prompt action is taken.
INTERNATIONAL FRAMEWORK
Biogas is becoming more widely acknowledged as a key component in reaching net zero goals in international climate agreements like the Paris Accord and COP28. Replicable models are provided by nations like Brazil, Sweden, and Germany that have incorporated biomethane into their national gas grids. Green gas infrastructure and trade are encouraged by the U.S. IRA subsidies and the EU’s Renewable Energy Directive (RED III). Indian biogas companies can increase their export potential, draw in climate finance, and speed up technology transfer by conforming to such international standards on lifecycle emissions, certifications, and safety procedures. By incorporating best practices into emissions accounting, plant design, and policy advocacy, India will maintain its sustainability and competitiveness on a global scale.
FUTURE PROSPECTS
India’s biogas industry has a promising and diverse future. The need for clean, local energy is increasing as a result of decarbonisation goals and rising fossil fuel prices. Scaling bio-CNG for transportation has enormous potential, particularly for public transportation and logistics. Another opportunity is provided by industrial users who are looking for heat that is carbon neutral. Agricultural areas are prepared for community based digesters, which use organic slurry to improve soil health. Biogas plants can become more profitable and efficient through the integration of AI and digitization. There is also unrealised potential in exporting Indian biogas technologies and services to Southeast Asia and Africa. Entrepreneurs and forward-thinking investors have a big chance to spearhead this clean energy revolution.
NEWS AND TRENDS
The biogas industry is changing quickly. Indian Oil’s increased bio-CNG investments, MNRE’s revised waste-to energy framework, and the GoI’s upcoming new roadmap, which not only reemphasises on 5,000 CBG plants by 2030 but also ensure the compulsory blending obligation upto 5% by FY 28-29, are some of the major developments. Trade agreements for biomethane are becoming more popular on a global scale. AI-based digester optimisation and smart gas upgrading units are two examples of technological advancements that are decreasing downtime and increasing return on investment. ESG-aligned energy assets, particularly decentralized ones like biogas, are attracting more attention from investors. It is important for readers to distinguish between market noise and transformative shifts. The bioeconomy will advance most effectively when policy, technology, and grassroots involvement are combined.
FISCAL PRUDENCE
Financial responsibility and sustainable scalability anchor our growth strategy. By prioritising modular plant designs and decentralised models, we reduce capital risk and ensure quicker returns. Outcome based subsidies and carbon credit monetisation attract climate conscious investors. Diversifying revenue streams through gas sales, slurry, carbon credits, and byproduct valorisation enhances business resilience. We emphasise public-private partnerships to optimise infrastructure use and lower costs. These financial practices reduce investment risk, making biogas a compelling environmental and economic solution. Our strategy aligns with India’s broader goals of energy security and climate action, reinforcing long-term investor confidence and positioning biogas as a key pillar of the green transition.
POLICY STANCE
India’s biogas sector is bolstered by government initiatives like SATAT, GOBARdhan, and the National Bio-Energy Mission, promoting public-private partnerships through viability gap funding, assured offtake, and capital subsidies. These measures have encouraged investment from farmers, developers, and local agencies. However, challenges remain, including inconsistent Fermented Organic Manure (FOM) use and fragmented regulations. Realising the full potential requires streamlined approvals, unified mandates, and defined timelines. Long-term frameworks for biogas and FOM, along with policy stability, are essential to build a strong ecosystem. This will ensure sustained investor and financial institution confidence in India’s transition to sustainable and circular energy solutions.
