Gujarat's Bio-CNG Plants Cut 6,750 Tonnes of CO2, Boost Farmer Incomes

Gujarat's Banas Bio-CNG initiative, developed by Banas Dairy, converts cow dung into compressed biogas and organic manure, creating a sustainable rural economy. Each plant generates roughly Rs 12 crore in annual revenue from fuel and fertilizer sales while directly benefiting hundreds of farming households. The project is set to reduce greenhouse gas emissions by an estimated 6,750 tonnes of CO2 equivalent annually. Its success has prompted plans for expansion and attracted interest from nearly 15 other Indian states for replication.

Key Points: Gujarat Bio-CNG Plants Reduce Emissions, Increase Farmer Revenue

  • Converts cow dung to CNG & manure
  • Rs 60 crore budget for expansion
  • Rs 12 crore annual revenue per plant
  • Benefits 400-450 households
3 min read

Banas Bio-CNG plants reduce 6,750 tonnes of CO2 annually, boost farmer incomes in Gujarat

Banas Bio-CNG initiative converts cow dung to clean fuel, cutting CO2 by 6,750 tonnes yearly and generating Rs 12 crore annual revenue per plant for farmers.

"The Banas Bio-CNG model is a proven approach that provides farmers with steady additional income while reducing carbon emissions. - Officials"

Gandhinagar, March 26

Gujarat's Banas Bio-CNG initiative is emerging as a benchmark in rural economic development, generating significant revenue for farmers while contributing to the state's climate goals, officials said on Thursday.

Developed by Banas Dairy under the guidance of Chief Minister Bhupendra Patel, the project converts cow dung and other organic waste into clean fuel and organic manure, creating an integrated model of energy production, agricultural support, and environmental conservation.

The state government has allocated Rs 60 crore in the 2026-27 budget to expand the Bio-CNG sector through cooperative milk production societies.

Each plant is estimated to produce annual revenues of around Rs 12 crore from the sale of compressed biogas (CNG) and organic manure.

Daily production per plant includes nearly 1,800 kg of compressed biogas, 25 metric tonnes of solid organic manure, and 75 metric tonnes of liquid manure.

Market rates for these products are Rs 75 per kg for CNG, Rs six per kg for solid manure, and Rs 0.50 per kg for liquid manure, contributing more than Rs three lakh in revenue daily per plant.

"The Banas Bio-CNG model is a proven approach that provides farmers with steady additional income while reducing carbon emissions," officials said.

The officials added, "Around 400-450 households from 20-25 villages in Banaskantha benefit directly, earning Rs one per kg of cow dung supplied to the plants."

The original plant in Banaskantha, operational for six years, has a daily processing capacity of 40 metric tonnes of cow dung.

Inspired by its success, five additional large-scale plants are planned in the district.

Two of the five plants are currently operational, while a third is in its final stage of construction.

Each facility processes nearly 100 metric tonnes of dung daily using scientific methods.

Around 13 tractor-trolleys are employed to transport the dung, each carrying about four metric tonnes per trip, which also generates local employment and stimulates rural economic activity.

Beyond economic impact, the initiative supports environmental sustainability.

Officials estimate the project will reduce greenhouse gas emissions by nearly 6,750 tonnes of CO2 equivalent annually.

"This initiative exemplifies the combination of clean fuel production, organic manure availability, and scientific waste management, turning Gujarat's Green Gujarat vision into a practical reality," the official added.

The project has also attracted national attention, with nearly 15 states exploring replication under the coordinated efforts of the Union Ministries of Jal Shakti and Cooperation.

Analysts say the Banas Bio-CNG model demonstrates how rural energy production and ecological conservation can be successfully integrated, providing a replicable template for sustainable rural development across India.

- IANS

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Reader Comments

P
Priya S
Fantastic initiative. It tackles three big issues: farmer income, clean energy, and waste management. The 6,750 tonnes of CO2 reduction is no small number. Hope they maintain the quality of the organic manure for the farmers.
R
Rohit P
Rs 12 crore annual revenue per plant is impressive. Creates a circular economy right at the village level. The employment from transport (13 tractor-trolleys!) is another big plus. Gujarat leading the way as usual.
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Sarah B
As someone working in sustainability, this is a brilliant case study. The integrated model is key. My only question: is the Rs 60 crore budget allocation enough for widespread replication? Scaling this nationally will need significant investment.
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Ananya R
This makes me so proud! Using our traditional resources (gau mata's dung) with modern science for progress. It's a perfect example of sustainable development that respects our roots. More power to the farmers involved! 🙏
M
Michael C
The numbers are compelling. Daily revenue of over 3 lakh rupees per plant from waste is a game-changer for rural economies. The fact that 15 other states are looking at this model speaks volumes. Hope the execution on the ground matches the plan.

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