The Andhra Pradesh Government has approved approximately ₹60 Crores for the establishment of five Compressed Biogas (CBG) plants across selected urban local bodies. The initiative aims to improve municipal waste management, reduce landfill dependency, and promote clean energy generation.
The approval was issued through a Government Order by the Municipal Administration and Urban Development Department as part of the state’s efforts to strengthen sustainable urban infrastructure.
Five CBG Plants Planned Across Andhra Pradesh
Under the proposal, new CBG plants will be established in Rajamahendravaram, Nellore, Guntur, and Ongole. In addition, an existing facility in Vijayawada will be revived and upgraded to improve operational efficiency and biogas production.
Each facility will have a processing capacity of 25 Tons Per Day (TPD), taking the combined processing capacity to 125 TPD.
Project Cost and Technical Support
According to revised project cost estimates, each 25 TPD CBG plant will require an investment of approximately ₹12.60 Crores, while the Vijayawada plant upgrade is estimated at ₹9.45 Crores.
The project will be implemented with technical support from the CSIR-Indian Institute of Chemical Technology (IICT), Hyderabad. The government decided to pursue this model after earlier public-private partnership tenders received limited participation.
Funding Structure
The projects will be financed through contributions from the Central Government, State Government, Urban Local Bodies, and private developers. Developers will have the opportunity to recover investments through the sale of Compressed Biogas over a concession period of up to 20 years.
Swachh Andhra Corporation has been appointed as the nodal agency responsible for project implementation, tendering, and overall monitoring.
Boost for Renewable Energy and Waste Management
The proposed CBG plants are expected to reduce the burden on municipal landfills while converting organic waste into valuable renewable fuel. The initiative supports Andhra Pradesh’s broader goals of promoting circular economy practices, sustainable urban development, and clean energy production.
The project also highlights the growing importance of Compressed Biogas as a renewable energy source under India’s waste-to-energy and sustainable fuel initiatives.
Source:https://newsonair.gov.in/
