To boost availability of affordable and clean transport fuels, a MoU was signed on November 20, 2020 between Ministry of Petroleum and Gas and leading oil & gas marketing companies & technology providers to establish Compressed Bio-Gas (CBG) plants across India.
- These plants will be established under the Sustainable Alternative Towards Affordable Transportation (SATAT) initiative.
- Government of India, under the SATAT initiatives envisages setting up of 5000 CBG plants by 2023-24 with production target of 15 MMT, facilitating the creation of new employment opportunities and enhancing farmers’ income towards further invigorating the rural economy.
- SATAT (Sustainable Alternative Towards Affordable Transportation) initiative for boosting production and availability of CBG as an alternative and affordable clean fuel for transportation sector was launched by Government of India on October 1, 2018.
- A total of 5000 CBG plants with approximate investment of Rs. 2 lakh crores are envisaged. Biofuels have the potential to reduce our fuel import bill by Rs. 1 lakh crore.
- With inclusion of forest waste, Agri-waste, animal husbandry waste and marine waste, SATAT involves a multi-pronged approach.
- The Reserve Bank of India has included CBG in priority sector lending framework.
What is Compressed Bio-Gas?
- Bio-gas is produced naturally (through a process of anaerobic decomposition) from waste / bio-mass sources like agriculture residue, cattle dung, sugarcane press mud, municipal solid waste, sewage treatment plant waste, etc.
- After purification, it is compressed and called CBG, which has high methane content.
- Compressed Bio-Gas is exactly similar to the commercially available natural gas in its composition and energy potential.
- With similar calorific value and other properties similar to CNG, Compressed Bio-Gas can be used as an alternative, renewable automotive fuel.
- Given the abundance of biomass in the country, Compressed Bio-Gas has the potential to replace CNG in automotive, industrial and commercial uses in the coming years.
(Source: PIB and IOCL)
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