{"id":81008,"date":"2026-08-07T18:25:50","date_gmt":"2026-08-07T12:55:50","guid":{"rendered":"https:\/\/www.nextias.com\/ca\/?p=81008"},"modified":"2026-08-07T18:26:46","modified_gmt":"2026-08-07T12:56:46","slug":"national-circular-bioenergy-scheme","status":"publish","type":"post","link":"https:\/\/www.nextias.com\/ca\/current-affairs\/07-08-2026\/national-circular-bioenergy-scheme","title":{"rendered":"National Circular Bioenergy Scheme (GOBARdhan Scheme)"},"content":{"rendered":"\n<p><strong>Syllabus: GS3\/Economy; Energy<\/strong><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Context<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Recently, the Union Cabinet has approved the <strong>National Circular Bioenergy Scheme (GOBARdhan \u2013 Galvanising Organic Bio-Agro Resources Dhan)<\/strong> with a total outlay of <strong>\u20b923,731 crore<\/strong>.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>What is the GOBARdhan Scheme?<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The <strong>National Circular Bioenergy Scheme<\/strong> is designed to build a strong environment for <strong>CBG production<\/strong>, managed pricing mechanism, capital subsidies, pipeline infrastructure support, and easier access to finance.<\/li>\n\n\n\n<li>It is meant to catalyse <strong>domestic CBG output to over 10 times<\/strong>, creating a stable and predictable investment environment for the sector.<\/li>\n\n\n\n<li>It <strong>builds on the foundation<\/strong> laid through <strong>earlier programmes<\/strong> such as:\n<ul class=\"wp-block-list\">\n<li><strong>Sustainable Alternative Towards Affordable Transportation (SATAT)<\/strong> initiative;<\/li>\n\n\n\n<li><strong>Market Development Assistance (MDA) Scheme<\/strong> for organic manure;<\/li>\n\n\n\n<li><strong>Biomass Aggregation Machinery (BAM) Scheme<\/strong>;<\/li>\n\n\n\n<li><strong>Development of Pipeline Infrastructure (DPI) Scheme;<\/strong> and\u00a0<\/li>\n\n\n\n<li><strong>National Bioenergy Programme<\/strong> for financial assistance.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<ul class=\"wp-block-list\">\n<li>It encourages the production of compressed biogas from diverse organic wastes like agricultural leftovers, animal manure, sugar industry waste (such press mud), municipal organic waste and other biodegradable biomass.<\/li>\n\n\n\n<li>The CBG produced can be mixed with <strong>Compressed Natural Gas (CNG)<\/strong> for transportation and distributed through <strong>Piped Natural Gas (PNG)<\/strong> networks.<\/li>\n<\/ul>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large is-resized\"><img data-dominant-color=\"a3aa90\" data-has-transparency=\"false\" loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"576\" src=\"https:\/\/wp-images.nextias.com\/cdn-cgi\/image\/format=auto\/ca\/uploads\/2026\/08\/image-63-1024x576.png\" alt=\"GOBARdhan scheme\" class=\"not-transparent wp-image-81009\" style=\"--dominant-color: #a3aa90; width:503px;height:auto\" srcset=\"https:\/\/wp-images.nextias.com\/cdn-cgi\/image\/format=auto\/ca\/uploads\/2026\/08\/image-63-1024x576.png 1024w, https:\/\/wp-images.nextias.com\/cdn-cgi\/image\/format=auto\/ca\/uploads\/2026\/08\/image-63-300x169.png 300w, https:\/\/wp-images.nextias.com\/cdn-cgi\/image\/format=auto\/ca\/uploads\/2026\/08\/image-63-768x432.png 768w, https:\/\/wp-images.nextias.com\/cdn-cgi\/image\/format=auto\/ca\/uploads\/2026\/08\/image-63.png 1536w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n<\/div>\n\n\n<h2 class=\"wp-block-heading\"><strong>Major Features of the Scheme<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Assured Market and Administered Pricing: <\/strong>CBG is fixed at an administered price of <strong>\u20b92,110 per Metric Million British Thermal Unit (MMBTU)<\/strong> with assured market and administered pricing.\n<ul class=\"wp-block-list\">\n<li>It creates long-term revenue stability for producers and affordable costs for consumers by combining government support and market-based cost sharing.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Capital Assistance:<\/strong> Eligible greenfield and brownfield CBG projects for capacity expansion will be provided capital assistance <strong>up to \u20b92 crore per tonne per day (TPD)<\/strong> of installed CBG capacity.\n<ul class=\"wp-block-list\">\n<li>It covers core plant machinery, feedstock aggregation infrastructure, and manure processing.<\/li>\n\n\n\n<li>It is projected to minimise the initial costs of projects and increase participation of private enterprises, MSMEs, cooperatives and rural entrepreneurs.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Development of Pipeline Infrastructure:<\/strong> A crucial part of the project is the development of pipeline infrastructure.\n<ul class=\"wp-block-list\">\n<li>It supports cluster-based pipeline networks, standalone pipelines connecting CBG plants to trunk pipelines, and <strong>Integration with City Gas Distribution (CGD)<\/strong> networks.<\/li>\n\n\n\n<li>Improved connectivity is expected to reduce transportation and evacuation costs, ensure reliable offtake, expand market access, and increase utilisation of domestically produced CBG.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Significance<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The scheme supports <strong>multiple national priorities<\/strong> i.e. energy security, circular economy, waste-to-wealth mission, atmanirbhar bharat, climate change mitigation, doubling farmers&#8217; income through diversified revenue, and viksit Bharat vision<\/li>\n\n\n\n<li>It addresses three long-standing requirements of the sector i.e <strong>remunerative pricing, assured offtake, and capital support<\/strong> which are expected to facilitate expansion from around <strong>300 operational CBG plants to nearly 5,000 plants<\/strong> over time.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Expected Benefits<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Energy Security: <\/strong>Reduces dependence on imported fossil fuels, and increases domestic production of clean gaseous fuel.<\/li>\n\n\n\n<li><strong>Waste Management: <\/strong>Converts agricultural, livestock, industrial, and municipal waste into useful energy, and supports scientific disposal of organic waste.<\/li>\n\n\n\n<li><strong>Rural Economy:<\/strong> Offers extra avenues of income for farmers by selling agricultural residues and livestock dung; creates job possibilities in rural regions by setting up and running CBG units.<\/li>\n\n\n\n<li><strong>Environmental Benefits:<\/strong> Helps in reducing greenhouse gas emissions, reduces stubble burning and open dumping of organic waste and stimulates formation of organic manure and improves soil health.<\/li>\n\n\n\n<li><strong>Private Investment:<\/strong> Stable pricing and capital support are anticipated to draw investments into the bioenergy sector and accelerate the financial conclusion of projects.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Challenges<\/strong><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Timely development of pipeline infrastructure.<\/li>\n\n\n\n<li>Reliable collection and aggregation of feedstock.<\/li>\n\n\n\n<li>Better coordination between Central Agencies, States and Local Bodies.<\/li>\n\n\n\n<li>Financial Sustainability and Operational Effectiveness of CBG Plants.<\/li>\n\n\n\n<li>Maintaining quality standards of CBG and organic manure.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Way Forward<\/strong><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The success of the GOBARdhan Scheme would depend on successful implementation, strong infrastructure, timely financial support and active participation of private investors and rural enterprises.<\/li>\n\n\n\n<li>It has the potential to turn India\u2019s CBG sector into a significant pillar of clean energy, sustainable waste management and rural economic growth with a predictable pricing regime, better connectivity and capital support.<\/li>\n<\/ul>\n\n\n\n<p><a href=\"https:\/\/www.thehindu.com\/business\/Industry\/union-cabinet-approves-23371-crore-gobardhan-scheme-to-fuel-cbg-sector-growth\/article71314167.ece\" target=\"_blank\" rel=\"noopener\">Source: TH<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p><strong> Context <\/strong><\/p>\n<li class=\"ms-5\"> Recently, the Union Cabinet has approved the National Circular Bioenergy Scheme (GOBARdhan \u2013 Galvanising Organic Bio-Agro Resources Dhan) with a total outlay of \u20b923,731 crore. <\/li>\n<p><\/p>\n<p><strong> What is the GOBARdhan Scheme? <\/strong><\/p>\n<li class=\"ms-5\"> The National Circular Bioenergy Scheme is designed to build a strong environment for CBG production, managed pricing mechanism, capital subsidies, pipeline infrastructure support, and easier access to finance. <\/li>\n<li class=\"ms-5\"> It is meant to catalyse domestic CBG output to over 10 times, creating a stable and predictable investment environment for the sector. <\/li>\n<p><a href=\" https:\/\/www.nextias.com\/ca\/current-affairs\/07-08-2026\/national-circular-bioenergy-scheme \" class=\"btn btn-primary btn-sm float-end\">Read More<\/a><\/p>\n","protected":false},"author":15,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-81008","post","type-post","status-publish","format-standard","hentry","category-current-affairs"],"acf":[],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/81008","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/users\/15"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/comments?post=81008"}],"version-history":[{"count":4,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/81008\/revisions"}],"predecessor-version":[{"id":81013,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/81008\/revisions\/81013"}],"wp:attachment":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/media?parent=81008"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/categories?post=81008"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/tags?post=81008"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}