Cabinet approves GOBARdhan Compressed Biogas scheme with Rs 23,731 crore outlay
The Union Cabinet on 6 August 2026 approved GOBARdhan, a national scheme for Compressed Biogas with an outlay of Rs 23,731 crore, to raise domestic CBG production nearly ten-fold.
Summary
The Union Cabinet chaired by Prime Minister Narendra Modi approved GOBARdhan, a national scheme for Compressed Biogas (CBG), with an outlay of Rs 23,731 crore on 6 August 2026. The scheme will run from FY 2026-27 to FY 2035-36, is administered by the Ministry of Petroleum and Natural Gas, and aims to raise domestic CBG production nearly ten-fold. Its six components cover assured offtake, a stable administered CBG price of Rs 2,110 per MMBTU, capital assistance of up to Rs 2 crore per tonne per day of capacity for greenfield plants, pipeline infrastructure, credit guarantees and a CBG Ecosystem Challenge Fund. It builds on the SATAT initiative, under which over 200 CBG plants have been commissioned.
Key facts
- Scheme
- GOBARdhan – national scheme for Compressed Biogas
- Outlay
- Rs 23,731 crore
- Period
- FY 2026-27 to FY 2035-36
- Administered by
- Ministry of Petroleum and Natural Gas
- CBG price
- Rs 2,110 per MMBTU (administered)
- Capital aid
- Up to Rs 2 crore per TPD for greenfield plants
- Target
- Nearly ten-fold rise in CBG output
Practice MCQs 4 questions
What is the total outlay of the GOBARdhan Compressed Biogas scheme approved by the Union Cabinet in August 2026?
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Correct answer: C — Rs 23,731 crore
The Cabinet approved GOBARdhan with a total outlay of Rs 23,731 crore for FY 2026-27 to FY 2035-36.
What stable administered price for Compressed Biogas does the GOBARdhan scheme introduce?
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Correct answer: B — Rs 2,110 per MMBTU
GOBARdhan introduces a stable administered CBG price of Rs 2,110 per MMBTU.
Which ministry administers the GOBARdhan Compressed Biogas scheme approved in August 2026?
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Correct answer: D — Ministry of Petroleum and Natural Gas
The scheme is administered by the Ministry of Petroleum and Natural Gas as one platform across the CBG value chain.
Consider the following statements about the GOBARdhan scheme: 1. It will be implemented from FY 2026-27 to FY 2035-36. 2. Eligible greenfield CBG projects can get capital assistance of up to Rs 2 crore per tonne per day of installed capacity. Which of the above is/are correct?
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Correct answer: C — Both 1 and 2
Both statements are correct as per the Cabinet decision of 6 August 2026.