GOBARdhan Central Sector Scheme (₹23,731 crore) launched for compressed biogas
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UPSC has already asked about this. Read the story with these questions in mind.
On 1 October 2026 the Petroleum Minister launched GOBARdhan, a Central Sector Scheme for compressed biogas (CBG) approved by the Cabinet on 6 August 2026 with ₹23,731 crore. It runs from 2026-27 to 2035-36 and aims to raise domestic CBG output nearly 10-fold to about 5 MMSCMD through assured offtake, a fixed price, capital aid and pipeline support.
- Outlay
- ₹23,731 crore
- Cabinet approval
- 6 Aug 2026
- Period
- FY 2026-27 to FY 2035-36
- Target
- ~5 MMSCMD, nearly 10-fold
- Administered price
- ₹2,110 per MMBtu
- Nodal ministry
- Petroleum and Natural Gas
The GOBARdhan scheme: what happened?
India imports nearly half its natural gas. CBG can turn crop residue, cattle dung and other organic waste into domestic gas and organic manure, but the sector had suffered from unstable revenues and scattered support.
- The Petroleum Minister launched GOBARdhan, a Central Sector Scheme for the Compressed Biogas (CBG) sector, approved by Cabinet on 6 Aug 2026 with ₹23,731 crore outlay [PIB].
- Ten-year framework FY2026-27 to FY2035-36; aims to raise domestic CBG output nearly 10-fold to ~5 MMSCMD [PIB].
What problems was the sector facing?
- Volatile revenues and fragmented support.
- Limited long-term policy visibility.
- Feedstock assurance and organic manure offtake.
- Access to finance.
What are the six parts of GOBARdhan?
| Intervention | Key feature |
|---|---|
| CBG Offtake Assurance | plants mapped to CGD areas or CBG clusters |
| CBG Pricing Framework | administered price ₹2,110/MMBtu |
| Capital Assistance | up to ₹2 crore per TPD for greenfield plants |
| Pipeline Infrastructure | up to 80% for cluster-to-trunk pipelines; 50% for standalone plant links to CGD |
| Credit Guarantee | for eligible MSME CBG projects |
| Ecosystem Challenge Fund | sector development |
How much CBG must gas distributors buy?
| Year | Obligation |
|---|---|
| 2026-27 | 3% |
| 2027-28 | 4% |
| 2028-29 onwards | 5% |
How does waste become gas under GOBARdhan?
Value chain
- Farmers, gaushalas, cooperatives collect dung and crop residue
- Aggregation and transport to CBG plant
- Plant produces CBG and organic manure (FOM/LFOM)
- Gas goes to CGD networks under the CBG Obligation
Why does the GOBARdhan scheme matter?
| Angle | What to note |
|---|---|
| Energy security | Cuts gas imports. |
| Environment | Uses crop residue that is otherwise burnt; less methane from waste. |
| Rural economy | Income for farmers and gaushalas; “Waste to Wealth”. |
| Agriculture | Organic manure for soil. |
What are the challenges in the GOBARdhan scheme?
- Steady feedstock supply year-round.
- Selling organic manure at scale.
- States must provide land banks, approvals and CBG policies.
What should be done next on the GOBARdhan scheme?
- State CBG policies and feedstock assessments, as the Secretary urged.
- Use the Unified GOBARdhan Portal for fast approvals.
- Track actual plant output against the 5 MMSCMD target.
What can Prelims ask on the GOBARdhan scheme?
- GOBARdhan: Central Sector Scheme; ₹23,731 crore; 10 years.
- CBG Obligation: 3% (FY27), 4% (FY28), 5% (FY29 on).
- Price: ₹2,110 per MMBtu.
- Unified GOBARdhan Portal and Handbook launched.
How to write about the GOBARdhan scheme in Mains
Practice question (15 marks, 250 words): Compressed biogas can link agriculture with energy security. Discuss with reference to the GOBARdhan scheme.
- Intro: scheme, outlay, target.
- Design: offtake, price, capital, pipelines.
- Benefits: imports, residue, rural income.
- Issues: feedstock, manure, States.
- Way forward.
What should UPPCS aspirants note?
- UP has a large cattle and crop-residue base, making GOBARdhan relevant for GS-VI answers on rural energy.
How to use this in Mains
- As per PIB, MoPNG (2026-10-01): the Petroleum Minister launched GOBARdhan, a Central Sector Scheme for the Compressed Biogas (CBG) sector, approved by Cabinet on 6 Aug 2026 with ₹23,731 crore outlay.
- Waste-to-energy and biofuels are linked to Prelims PYQs on the National Policy on Biofuels.
Quotable data pointTen-year framework FY2026-27 to FY2035-36; aims to raise domestic CBG output nearly 10-fold to ~5 MMSCMD.
PIB, MoPNG: Launch of GOBARdhan Scheme for CBG, 1 Oct 2026
Exam angle
Prelims: scheme type, outlay, target. · Mains: CBG as a circular-economy solution.
Practice MCQs
Original practice questions (not PYQs).
Under GOBARdhan, the obligation to procure CBG rests with
Answer (c) & explanation
PIB, 1 Oct 2026.
The CBG Obligation from FY 2028-29 onwards is
Answer (c) & explanation
PIB, 1 Oct 2026.
GOBARdhan (2026) is a
Answer (b) & explanation
PIB, 1 Oct 2026.
Questions students ask about this
What is the GOBARdhan Central Sector Scheme?
A ₹23,731 crore scheme for 2026-27 to 2035-36 to grow India's compressed biogas sector.
What is the CBG Obligation?
City Gas Distribution entities must buy CBG: 3% in 2026-27, 4% in 2027-28 and 5% from 2028-29.
What price is fixed for CBG?
An administered price of ₹2,110 per MMBtu.
What is the output target?
About 5 MMSCMD, nearly 10 times current output.
Keep studying
Go deeper
Official source: PIB, MoPNG: Launch of GOBARdhan Scheme for CBG, 1 Oct 2026
facts from cited sources only; faculty review pending