CBG scaling hinges on efficient feedstock supply chain

Industry observers and government officials say the next major challenge for India's Compressed Biogas (CBG) sector is building an efficient supply chain for feedstock procurement, storage and management. The issue comes into focus after the Union Cabinet approved a Rs 23,731 crore revamped GOBARdhan scheme on August 9, aiming to nearly tenfold CBG production by 2036.

Feedstocks such as press mud, paddy straw, cattle dung and agricultural residues each pose unique logistical hurdles. Press mud and cattle dung must be sourced close to plants due to high moisture and perishability, while paddy straw requires baling and rapid collection within a 15-day window before the next crop sowing. Storage must prevent fire hazards in summer and moisture damage during monsoons.

Experts recommend an aggregator-based model to connect farmers with CBG plants, as farmers may avoid long-term contracts. They also advise designing plants to process multiple feedstocks for seasonal resilience. The Indian Biogas Association chairman said a 25-km radius is a viable sourcing distance to preserve environmental benefits.