Exciting prospects emerge for India’s bioenergy sector with the excise duty cut on CBG-CNG blends, forecasted to attract up to Rs 1 lakh crore. IBA announced this Sunday, hailing it as a cornerstone for clean energy and net-zero by 2070.
The Budget 2026 initiative scraps duties on biogas shares, fixing a distortion that hindered renewables. Blends become cost-competitive, spurring massive scaling.
A 5% mix in distribution networks needs 2.5-3 MMTPA CBG in five years, worth Rs 45k-55k crore investments. Stable policies could double that to Rs 1 lakh crore at 7-8% by 2032.
From 60 million tonnes feedstock potential in agri-waste and beyond, plants gain viability. Consumers see cheaper fuel, firms lower expenses, rural areas thrive.
CBG’s 70-90% emission cuts shine; 10% blend averts millions of CO2 tonnes annually. This policy ignites investment, secures energy, and greens the economy profoundly.