Proposed 5% biogas blending with LNG can cut imports worth $1.17 bn: IBA

cnbctv18.com India 04-12-2023 Share

According to a study by the Indian Biogas Association (IBA), the country can reduce LNG imports worth $1.17 billion annually by blending biogas at a rate of 5% with natural gas supplies.
The study is being conducted in light of the government's recent mandate, known as the compressed biogas blending obligation (CBO) scheme, which requires 1% of the nation's piped natural gas (PNG) supplies to be blended with biogas starting on April 1, 2025.
According to a study by the Indian Biogas Association (IBA), the country can reduce LNG imports worth $1.17 billion annually by blending biogas at a rate of 5% with natural gas supplies.
The study is being conducted in light of the government's recent mandate, known as the compressed biogas blending obligation (CBO) scheme, which requires 1% of the nation's piped natural gas (PNG) supplies to be blended with biogas starting on April 1, 2025.
According to IBA estimates, blending 5 percent of biogas with natural gas can cut $1.17 billion worth of LNG imports. Additionally, this can reduce CO2 emissions per person by 2% when compared to the 2019 data, which showed that each person in India emitted 1.9 metric tonnes of CO2.
Furthermore, the organisation claims that there are countless advantages to keeping organic waste out of landfills.
According to government estimates, the CBO scheme will facilitate the establishment of at least 750 compressed biogas (CBG) projects by 202829 and encourage investment of approximately Rs 37,500 crore.
India will benefit from increased energy security as a result, as it presently depends largely on natural gas imports to meet its energy needs.
It is extremely beneficial to blend biogas with PNG and CBG to help lessen this reliance.
Similar to ethanol, biogas blending has the potential to show a positive correlation with the growth of agricultural income.
Almost 1,000 acres of adjacent biogas plant area can be turned into organic agriculture with each new large-scale plant.
Numerous organic waste sources, including food waste, municipal solid waste, and agricultural waste, can be converted into biogas.
For farmers, waste management firms, and other biogas production stakeholders, this may open up new business opportunities.

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