The Indian Biogas Association (IBA) has positioned India's newly approved GOBARdhan Scheme as a strategic tool for reducing energy import costs, projecting a USD 5 billion cut to the country's gas import bill.
The scheme, formally titled 'Galvanising Organic Bio-Agro Resources Dhan', carries a financial outlay of Rs 23,731 crore (approximately USD 2.8 billion). It aims to convert agricultural waste and cow dung into biogas and biomethane for energy production.
In an August 9 statement, the IBA framed the investment not as public expenditure but as strategic national infrastructure, arguing that returns extend beyond energy production into import substitution, rural employment and agricultural productivity gains.
The scheme targets organic waste streams currently unutilised or disposed of, creating a circular bioenergy model. Biogas production from agricultural feedstocks addresses both energy security and waste management pressures.
The import substitution argument reflects India's significant reliance on liquefied natural gas (LNG) imports. A USD 5 billion reduction would represent a material contribution to the country's trade balance and energy independence, though IBA provided no detailed methodology for the calculation.
India’s GOBARdhan Scheme could cut gas imports by $5 billion, says IBA
