Overview

GOBARdhan (Galvanizing Organic Bio-Agro Resources Dhan) is a national government initiative that converts cattle dung, agricultural residue, kitchen waste, and other organic matter into biogas, Compressed Bio-Gas (CBG), and organic bio-fertiliser. Launched in 2018 as a component of the Swachh Bharat Mission (Grameen) under the Ministry of Jal Shakti, GOBARdhan originally supported village and cluster-level biogas plants to improve rural sanitation and generate clean cooking fuel.

On 6 August 2026, the Union Cabinet approved a major restructuring: GOBARdhan – National Unified Scheme for Compressed Biogas, with a total outlay of ₹23,731 crore for FY 2026-27 to FY 2035-36. The Compressed Biogas (CBG) value chain, earlier spread across four different ministries, has now been consolidated under the Ministry of Petroleum & Natural Gas (MoPNG) for unified policy, implementation, and sectoral development, while community and cluster biogas plants continue to be supported separately under Swachh Bharat Mission-Grameen (SBM-G) Phase II.

The programme now runs on two parallel tracks:

1. Community / Cluster Biogas Plants (Ministry of Jal Shakti, SBM-G Phase II) for villages, Gram Panchayats, and rural institutions.
2. Commercial Compressed Bio-Gas (CBG) / Bio-CNG Plants (Ministry of Petroleum & Natural Gas, National Unified GOBARdhan Scheme) for entrepreneurs, cooperatives, and MSMEs.

As of 6 August 2026, 1,908 CBG/Bio-CNG plants were registered nationally, of which 217 were already commissioned (producing 0.4 MMSCMD) and 339 were under construction, spanning 250 districts.

Key Benefits

• Community & Cluster Biogas Plants: Financial assistance of up to ₹50 lakh per district under SBM-G Phase II (programme period 2020-21 to 2026-27) for setting up village/block-level biogas plants run by Gram Panchayats, FPOs, and cooperatives.
• Small Biogas Plants (MNRE National Biogas Programme): Central Financial Assistance for plants of 1 to 25 cubic metre/day capacity, with an additional 20% subsidy for North Eastern states, island regions, registered Gaushalas, and SC/ST beneficiaries.
• Commercial CBG Plant Capital Assistance: Up to ₹2 crore per tonne-per-day (TPD) of installed CBG capacity for greenfield projects; brownfield/expansion projects are also eligible. Support extends beyond plant machinery to feedstock aggregation and organic manure processing assets.
• Assured Offtake & Stable Pricing: A government-mandated CBG blending obligation for City Gas Distribution (CGD) entities — 3% in FY 2026-27, 4% in FY 2027-28, 5% from FY 2028-29 — in CNG (transport) and PNG (domestic) segments, combined with a government-backed administered price of ₹2,110 per MMBTU (about ₹105/kg of CBG), guaranteed for a minimum of 10 years.
• Credit Guarantee Support: Up to 85% credit guarantee coverage on eligible loans for MSME-based CBG projects, easing collateral requirements for first-time developers and women entrepreneurs.
• Market Development Assistance (MDA) for Bio-Fertiliser: ₹1,500 per metric tonne subsidy on Fermented Organic Manure (FOM), Liquid FOM (LFOM), and Phosphate Rich Organic Manure (PROM) produced as a by-product, to make organic bio-fertiliser affordable for farmers.
• Pipeline Infrastructure & CBG Ecosystem Challenge Fund: Government-supported pipeline connectivity linking CBG plants to trunk gas lines and CGD networks, plus a dedicated district-level fund for feedstock resource mapping, aggregation infrastructure, and capacity building.

Eligibility Criteria

• Community biogas models: Gram Panchayats, Village Water & Sanitation Committees, Self-Help Groups, and rural cooperatives.
• Commercial CBG/Bio-CNG plants: Farmer Producer Organisations (FPOs), cooperatives, registered Gaushalas, MSMEs, private entrepreneurs, and corporates with assured feedstock linkages (cattle dung, crop residue, municipal/food waste, press mud).
• Applicants must demonstrate a minimum guaranteed daily availability of feedstock through backward-linkage agreements with farmers, dairies, or local bodies.
• CBG project developers must obtain a registration number on the GOBARdhan Unified Registration Portal before they can avail Ministry of Petroleum & Natural Gas benefits.

Documents Required

• Detailed Project Report (DPR) covering feedstock sourcing, plant engineering capacity, and FOM/by-product distribution plan.
• Land ownership or lease documents for the plant site.
• Feedstock supply agreements/MoUs with Gram Panchayats, dairies, Gaushalas, or farmer producer groups.
• Company/cooperative/society registration certificate, PAN, and GST registration (for commercial applicants).
• Bank account details and project financing or loan sanction documents.
• Environmental/pollution-control clearance from the State Pollution Control Board.
• Registration number from the GOBARdhan Unified Registration Portal (for CBG/Bio-CNG plants).

How to Apply

1. Commercial CBG/Bio-CNG developers: Register on the GOBARdhan Unified Registration Portal (gobardhan.eil.co.in) to obtain a mandatory registration number before applying for any central assistance.
2. Community/cluster biogas applicants: Apply through the SBM-Grameen GOBARdhan portal (gobardhan.sbm.gov.in) or your state's Panchayati Raj / Rural Development department.
3. Submit a Detailed Project Report detailing feedstock sourcing, plant capacity, and manure distribution plan.
4. Sign offtake agreements with Oil & Gas Marketing Companies (IOCL, HPCL, BPCL, GAIL) or City Gas Distribution entities for CBG sale, and with Fertiliser Marketing Companies for FOM/LFOM sale under the MDA Scheme.
5. Apply for MSME credit guarantee cover through your lending bank or financial institution while arranging project financing.
6. Obtain State Pollution Control Board clearance and complete other single-window approvals.
7. After commissioning, register on the Integrated Fertiliser Management System portal to claim Market Development Assistance on organic manure sold.

Important Points

• The CBG ecosystem, previously spread across four ministries, is now unified under the Ministry of Petroleum & Natural Gas following the 6 August 2026 Cabinet approval — a major structural change from the earlier multi-ministry setup.
• The scheme aims to grow domestic CBG production nearly ten-fold over the decade, save over ₹40,000 crore in forex, add more than ₹75,000 crore to GDP, and create over 1.5 lakh jobs, while cutting more than 40 MT of CO₂ emissions.
• Community biogas plant assistance (up to ₹50 lakh per district) continues to run under Swachh Bharat Mission-Grameen Phase II, separately from the new commercial CBG scheme.
• SATAT, the Biomass Aggregation Machinery (BAM) Scheme (₹564.75 crore outlay), and the Development of Pipeline Infrastructure (DPI) Scheme (₹994.5 crore outlay, FY 2024-25 to FY 2028-29) are the earlier building blocks that the new GOBARdhan framework now consolidates.
• Always verify current subsidy slabs, portal links, and application deadlines on the official GOBARdhan portal, as detailed operational guidelines are still being finalised during the scheme's rollout phase starting FY 2026-27.

Frequently Asked Questions (FAQs)

What is GOBARdhan Yojana?

GOBARdhan (Galvanizing Organic Bio-Agro Resources Dhan) is a government programme that converts cattle dung, crop residue, and other organic waste into biogas, Compressed Bio-Gas (CBG), and organic manure, supporting both village-level clean cooking fuel and commercial bio-energy production.

Who implements GOBARdhan now — Ministry of Jal Shakti or Ministry of Petroleum & Natural Gas?

Both. Community and cluster biogas plants continue under the Ministry of Jal Shakti's Swachh Bharat Mission-Grameen Phase II. Since the Cabinet approval on 6 August 2026, the commercial Compressed Bio-Gas (CBG) ecosystem has been consolidated under the Ministry of Petroleum & Natural Gas through the new National Unified GOBARdhan Scheme.

How much subsidy is available for setting up a community biogas plant?

Community and cluster-level biogas plants can receive financial assistance of up to ₹50 lakh per district under Swachh Bharat Mission-Grameen Phase II. Small biogas plants (1-25 cubic metre/day) may also get central assistance under the MNRE National Biogas Programme, with an extra 20% for North Eastern states, island areas, registered Gaushalas, and SC/ST beneficiaries.

What capital assistance is available for commercial CBG/Bio-CNG plants?

Eligible greenfield CBG projects can receive capital assistance of up to ₹2 crore per tonne-per-day (TPD) of installed CBG capacity under the new National Unified GOBARdhan Scheme. Brownfield projects expanding their capacity are also eligible.

What is the guaranteed price for Compressed Bio-Gas under the scheme?

The scheme introduces a government-backed administered price of ₹2,110 per MMBTU (about ₹105 per kg of CBG), with revenue certainty guaranteed for a minimum of 10 years.

Is there a credit guarantee for CBG project loans?

Yes. A dedicated Credit Guarantee Mechanism provides coverage of up to 85% on eligible loans for MSME-based compressed biogas projects, improving access to institutional finance for first-time developers and women entrepreneurs.

What subsidy exists for organic manure (FOM) produced from biogas plants?

The Market Development Assistance (MDA) Scheme, run by the Department of Fertilizers, provides ₹1,500 per metric tonne for Fermented Organic Manure (FOM), Liquid FOM, and Phosphate Rich Organic Manure (PROM) sold through registered Fertiliser Marketing Companies.

Where do I register my CBG plant to avail GOBARdhan benefits?

Commercial CBG/Bio-CNG plant developers must register on the GOBARdhan Unified Registration Portal (gobardhan.eil.co.in) to get a registration number, which is mandatory to access Ministry of Petroleum & Natural Gas benefits. Community biogas applicants should use the SBM-Grameen GOBARdhan portal (gobardhan.sbm.gov.in).