GOBARdhan Scheme 2026: CBG Subsidy, Benefits & Eligibility

♻ Clean Energy · Waste to Wealth

GOBARdhan Scheme 2026: Benefits, Capital Assistance, Eligibility & Guidelines

Planning a Compressed Biogas (CBG) project in India? Explore the GOBARdhan Scheme's integrated framework for capital assistance, CBG offtake, administered pricing, pipeline connectivity and credit guarantee support.

₹23,731 Cr Total scheme outlay
₹2 Cr / TPD Maximum stated capital assistance per TPD of installed capacity for eligible projects
₹2,110 Administered price per MMBtu
10 Years Scheme period: FY 2026–27 to FY 2035–36
Understanding the scheme

What Is the GOBARdhan Scheme?

GOBARdhan is the Government of India's integrated framework for developing the Compressed Biogas sector, bringing important support mechanisms under one national scheme.

GOBARdhan stands for Galvanizing Organic Bio-Agro Resources Dhan. The initiative promotes productive use of organic resources such as cattle dung, agricultural residue, press mud and municipal organic waste.

These resources can be processed into Compressed Biogas (CBG) and organic manure, creating opportunities for cleaner fuel production, waste management, agricultural value chains and rural enterprise.

The Union Cabinet approved the National Circular Bioenergy Scheme on 6 August 2026. The scheme was officially launched on 1 October 2026 by the Ministry of Petroleum and Natural Gas.

What is the main objective?

The scheme aims to increase India's domestic CBG production nearly ten-fold, to around 5 MMSCMD, mobilise private investment and establish a stronger circular bioeconomy.

Important: The total scheme outlay is not an automatic subsidy entitlement for every CBG project. Assistance depends on the applicable component, eligibility and official scheme conditions.

Scheme overview

GOBARdhan Scheme 2026: Key Details

A quick reference to the main details published by the Government of India.

Particular Details
Scheme name GOBARdhan — National Circular Bioenergy Scheme
Nodal ministry Ministry of Petroleum and Natural Gas (MoPNG)
Total outlay ₹23,731 crore
Implementation period FY 2026–27 to FY 2035–36
Primary sector Compressed Biogas (CBG)
Production ambition Nearly ten-fold growth, to around 5 MMSCMD
Administered CBG price ₹2,110 per MMBtu under the notified framework
Official information and portal Unified GOBARdhan Portal ↗
Six growth engines

Key Benefits and Components of GOBARdhan

The scheme brings together six major interventions to address market demand, pricing, project costs, infrastructure, finance and ecosystem development.

01

Capital Assistance

Eligible greenfield CBG projects can receive capital assistance of up to ₹2 crore per TPD of installed capacity. Eligible brownfield capacity expansion is also covered under the published framework.

View assistance details →
02

CBG Offtake Assurance

The framework is designed to create a more predictable route to market by linking CBG plants with identified City Gas Distribution (CGD) areas or CBG clusters.

Understand offtake →
03

CBG Pricing Framework

An administered price of ₹2,110 per MMBtu is intended to improve revenue visibility for eligible producers under the scheme's applicable pricing mechanism.

View pricing details →
04

Pipeline Infrastructure

Eligible pipeline projects may receive support for connecting CBG clusters to trunk pipeline networks and standalone plants to CGD networks.

View pipeline support →
05

Credit Guarantee Support

The credit guarantee component is intended to reduce lending risk for eligible MSME CBG projects, subject to applicable guarantee conditions and limits.

View credit support →
06

CBG Ecosystem Challenge Fund

Supports ecosystem development activities such as feedstock assessment, technology development, capacity building and organic manure value addition, as provided under the scheme.

Explore the fund →
Project funding

Capital Assistance for CBG Projects

Capital assistance is designed to help eligible projects reduce initial investment pressure and develop key assets across the CBG value chain.

Greenfield CBG Projects

Eligible new CBG projects can receive capital assistance of up to ₹2 crore per TPD of installed CBG capacity, subject to the scheme's detailed eligibility and implementation rules.

Published maximum rate

Eligible Project Assets

The official framework includes support for eligible plant machinery, feedstock aggregation, Fermented Organic Manure (FOM) and Liquid Fermented Organic Manure (LFOM) processing, and manure value-addition equipment.

Subject to detailed rules

Capital Assistance: Important Considerations

Consideration What project developers should know
Assistance rate Up to ₹2 crore per TPD of installed capacity for eligible projects.
Project category Greenfield projects and eligible brownfield capacity expansion.
Project assets Only assets and expenditure covered by the applicable scheme guidelines qualify.
Actual assistance Depends on eligible capacity, approved expenditure, applicable limits and scheme conditions.
Application requirements Confirm the latest handbook for application stages, approvals, disbursement and exclusions.

Important: “Up to ₹2 crore per TPD” is a maximum stated assistance rate, not a guarantee that every project will receive that amount. Do not calculate the final subsidy without checking the official project-specific conditions.

Market and revenue visibility

CBG Pricing and Offtake Assurance

A viable CBG project needs more than a production plant. It also needs a dependable route to market and a clear understanding of the applicable pricing framework.

Administered CBG Price

₹2,110 / MMBtu

The published scheme framework introduces an administered CBG price intended to improve long-term revenue visibility for producers.

The applicable pricing mechanism, commercial terms and project-level calculations should be verified against the official handbook and relevant implementation documents.

CBG Offtake Framework

The scheme connects the production side with market demand through identified CGD geographical areas or CBG clusters and the notified CBG procurement obligation.

This framework is intended to improve demand visibility and help developers evaluate the commercial viability of a proposed plant.

CBG Obligation Trajectory

The Government has published the following procurement obligation trajectory for the CNG (Transport) and PNG (Domestic) segments.

Financial year Published CBG obligation
FY 2026–27 3%
FY 2027–28 4%
FY 2028–29 onwards 5%

These percentages describe the published CBG obligation trajectory; they should not be interpreted as a guaranteed purchase quantity or guaranteed revenue for every individual plant.

Infrastructure support

Pipeline Infrastructure Assistance

Pipeline connectivity can be a critical factor in moving CBG from the production site to an eligible gas network.

CBG Cluster to Trunk Pipeline

Up to 80%

The published framework provides support of up to 80% of eligible capital expenditure for pipelines connecting CBG clusters to trunk pipeline networks.

Standalone Plant to CGD Network

Up to 50%

The published framework provides support of up to 50% of eligible capital expenditure for standalone plants connecting to City Gas Distribution networks.

Before budgeting: These are maximum support rates on eligible expenditure. Confirm the detailed rules on eligible pipeline scope, project category, approvals, caps and disbursement before relying on either percentage.

Access to finance

Credit Guarantee Support for Eligible MSME CBG Projects

Financing is a major consideration for CBG developers. The scheme's credit guarantee component is designed to help eligible MSME projects access institutional credit by reducing qualifying lender risk.

Guarantee Coverage

Up to 85%

The published framework specifies credit guarantee coverage of up to 85% of the outstanding amount at default for eligible projects, subject to the applicable terms.

Published Guarantee Limits

General eligible MSME category Up to ₹20 crore
Eligible women-led MSME category Up to ₹25 crore

Credit guarantee support is not the same as a direct subsidy or an automatic loan approval. Eligibility, covered credit facilities, lender participation, guarantee limits and claim conditions must be checked in the current official guidelines.

Ecosystem development

CBG Ecosystem Challenge Fund

CBG sector development also requires reliable feedstock, suitable technology, skilled people and effective manure value chains.

Feedstock Assessment

Support for activities such as resource assessment, biomass mapping and feedstock aggregation development.

Technology Development

Ecosystem development activities intended to encourage technology adoption, innovation and process improvement.

Manure Value Addition

Development activities related to FOM/LFOM value addition, capacity building and district-level CBG ecosystems.

The Challenge Fund is a scheme component, not a blanket cash benefit for every CBG developer. Refer to the official handbook for the eligible activities, beneficiaries and support process.

Before applying

Eligibility: What Should a CBG Project Check?

Eligibility depends on the specific scheme component. Use the following points as an initial project-screening checklist, not as a substitute for the official eligibility rules.

Project readiness

  • Identify whether the proposal is a new plant or an eligible expansion.
  • Define the proposed installed CBG capacity in TPD.
  • Assess feedstock availability, quality, quantity and supply logistics.
  • Review land, site suitability, utilities and required statutory permissions.
  • Evaluate the proposed technology, plant configuration and implementation plan.

Commercial readiness

  • Evaluate the proposed CBG offtake route and relevant CGD network or cluster.
  • Prepare realistic capital expenditure and operating cost estimates.
  • Review funding requirements, debt structure and working capital.
  • Assess FOM/LFOM processing and potential manure value chains.
  • Match the project to the exact capital, pipeline or credit-support component sought.

Eligibility caution: These points describe practical project-preparation considerations. They do not establish that an applicant or project qualifies. Check the official scheme handbook for the actual beneficiary criteria, exclusions and approval conditions.

Project preparation

How to Proceed with a GOBARdhan Project

Use these practical preparation steps before proceeding through the official scheme process. The final application workflow may differ by component and the latest handbook.

01

Define the project

Establish the proposed CBG capacity, project location, plant type, feedstock sources and intended commercial model.

02

Identify the relevant scheme component

Determine whether the project needs capital assistance, eligible pipeline support, credit guarantee support or another intervention.

03

Review the latest official handbook

Check the applicable eligibility criteria, application requirements, expenditure rules, approvals, timelines and disbursement conditions.

04

Prepare technical and financial documents

Compile the project report, capacity calculations, feedstock assessment, cost estimates, financing plan and relevant supporting records.

05

Follow the official application route

Access the official GOBARdhan portal and follow the currently published instructions for the relevant component. Confirm submission and approval requirements directly from official sources.

Open the Unified GOBARdhan Portal ↗

Project documentation

Documents to Prepare for Initial Project Review

The following is a preliminary preparation list. It is not an official or exhaustive application document list.

Project Details

  • Project concept note
  • Proposed capacity and technology
  • Site and land information
  • Implementation schedule

Technical & Financial

  • Preliminary project report
  • Estimated capital expenditure
  • Operating cost assumptions
  • Funding and financial projections

Feedstock & Operations

  • Feedstock source assessment
  • Supply and logistics plan
  • CBG offtake assessment
  • Required permissions and records

Confirm the exact document list, prescribed formats, portal requirements and component-specific conditions in the latest official GOBARdhan handbook before submitting an application.

Build a viable project

Why CBG Project Feasibility Matters

A scheme benefit should be assessed alongside the project's operational and commercial viability.

Feedstock

Confirm consistent feedstock availability, transport distance, cost and seasonal variation.

Technology

Evaluate process suitability, plant efficiency, operating requirements and maintenance.

Market Access

Assess the offtake route, network connection and applicable commercial terms.

Financial Viability

Model capital expenditure, operating costs, working capital, debt and cash flow.

Frequently asked questions

GOBARdhan Scheme 2026: FAQs

Answers to common questions about the scheme, its published financial framework and project planning.

What is the GOBARdhan Scheme 2026?

GOBARdhan is the National Circular Bioenergy Scheme designed to accelerate India's Compressed Biogas sector through offtake assurance, administered pricing, capital assistance, pipeline infrastructure, credit guarantee support and ecosystem development.

What is the total outlay of the GOBARdhan Scheme?

The Government of India has announced a total scheme outlay of ₹23,731 crore. This is the overall scheme outlay, not an individual project's guaranteed subsidy.

What is the maximum capital assistance under GOBARdhan?

The published framework provides eligible greenfield CBG projects with capital assistance of up to ₹2 crore per TPD of installed capacity. Eligible brownfield expansion is also covered under the framework. Actual assistance depends on detailed scheme conditions.

What is the administered CBG price under the scheme?

The published administered price is ₹2,110 per MMBtu. Refer to the latest official handbook for the applicable pricing mechanism and commercial terms.

Does GOBARdhan support pipeline connectivity?

Yes. The published framework provides support of up to 80% of eligible capital expenditure for pipelines connecting CBG clusters to trunk pipeline networks and up to 50% for standalone plants connecting to CGD networks. Eligibility and conditions apply.

Is credit guarantee support available for MSME CBG projects?

The scheme includes a credit guarantee component for eligible MSME CBG projects. The published framework specifies coverage of up to 85% of the outstanding amount at default, subject to conditions and applicable limits. This does not mean automatic loan approval.

Can every CBG plant receive the maximum assistance?

No. Published maximum rates do not guarantee maximum support for every project. The applicable component, eligible capacity and expenditure, approval requirements and detailed conditions must be satisfied.

Where can I find the official GOBARdhan guidelines?

Start with the Unified GOBARdhan Portal and the Ministry of Petroleum and Natural Gas's official scheme launch release. Refer to the latest handbook for component-specific rules.

Does Amplus Subsidy Solutions guarantee scheme approval?

No approval or financial assistance should be represented as guaranteed. Project eligibility and approval are determined by the relevant authorities under the applicable scheme rules.

CBG project planning

Planning a Compressed Biogas Project?

Understand the relevant scheme component, assess your project's readiness and verify the current guidelines before making financial or investment decisions.

Contact Amplus Subsidy Solutions →

Scheme eligibility, approval and assistance remain subject to the official guidelines and the competent authority's decision.