By Tarun Sawhney,
India’s need to shift towards Compress Biogas (CBG)
India is among one of the fastest-growing economies in the world and its energy consumption is slated to increase rapidly.
In 2018, The Government of India announced the National Policy on Biofuels with an aim to increase the usage of biofuels in the energy and transportation sectors. Biofuels in India are of strategic importance as they augur well with the ongoing initiatives such as Make in India, Atmanirbhar Bharat and offer great opportunity to integrate with the ambitious targets of doubling of farmers’ income, reduction of fuel imports, rural employment generation, waste to wealth creation and most importantly sustainable development, etc.
Impact on Agriculture, Economy and Environment
CBG is a highly purified biogas comprising of over 90% methane with high calorific value, making it a perfect green renewable automotive fuel. It produces 20-60 percent less emissions in comparison to fossil fuels. It can not only help in ensuring a cleaner environment, but it can also reduce our dependence on imported Liquid Natural Gas, hence saving the forex reserves. Generated from the bio-waste sources like agricultural residue, cattle dung, filtercake (a by-product of the sugar manufacturing process from the sugarcane and commonly termed as press mud). CBG can also assist the farmers in a big way, by enhancing their income, enhance infrastructure development leading to rural development, job creation among others – making it a classic case of sustainable development.
Gaps to Fulfil
The Government is proactively working towards increasing the production of CBG under the SATAT (Sustainable Alternative Towards Affordable Transportation) initiative which envisages target production of 15 million Metric Ton (MMT) of CBG by 2023-24, from 5000 Plants. However, the biofuels program in India has been largely impacted due to the sustained and quantum non-availability of domestic feedstock for biofuel production which needs to be addressed.
The Government could plan and allocate necessary resources for the development of a trading market for CBG certificates which will be used towards carbon abatement as part of national carbon accounting standards (carbon scores for CBG). Reinstatement of subsidy at least for the first 200 projects, realistic pricing and reduction in GST on plant & equipment required to make CBG, could be some of the major steps to further boost the production of this biofuel in India.
Improved Accessibility
CBG is also being considered to produce Green Hydrogen and could be used as a replacement for Piped Natural Gas for domestic use. As an automotive fuel, both CBG and CNG can be sold from the same stations without any appreciable difference between the two fuels. If so required, OMCs can also set up a new retail station at the factory gate to sell it. Further, it can be integrated with City Gas Distribution (CGD) networks to boost supplies to domestic and retail users in existing and upcoming markets. Besides retailing from OMC fuel stations, it can be injected into CGD pipelines for efficient distribution and optimized access of a cleaner and more affordable fuel.
CBG holds a huge potential and its adoption as future fuel can help reduce our import dependency and position as a sustainable circular economy.
In addition to above, the bio-manure generated after the production of CBG can be a valuable fertilizer/manure can be gainfully utilized for promoting natural farming and improving soils & productivity.
(The author is Vice Chairman and Managing Director, Triveni Engineering and Industries Ltd. Views are personal and not necessarily that of FinancialExpress.com)