Lok Sabha Question No. 3058 (UNSTARRED), answered on 2025-08-07
Subject: Setting up of CBG Plants
Ministry: PETROLEUM AND NATURAL GAS
Asked by: Shri Ve Vaithilingam

## LOK SABHA

TO BE ANSWERED ON 07 th  August, 2025

## Setting up of CBG Plants

## 3058. Shri Ve Vaithilingam :

## पेट Ō ोिलयम और Ůाक ृ ितक गैस मंũी

Will the Minister of PETROLEUM AND NATURAL GAS be pleased to state:

(a)  whether  the  Government  is  cognisant  that  exploration  over  a  wider  area  is  likely  to yield more discoveries, raise domestic oil and gas output and cut reliance on imports;

(b)  if  so,  the  details  thereof  along  with  the  initiatives  proposed  to  be  taken  by  the Government in this regard;

(c)  whether  the  Government  is  planning  to  supplement  supplies  by  setting  up  of Compressed  Bio-Gas  (CBG)  plants  that  use  animal  and  agri  waste  to  produce  gas;  and (d) if so, the details thereof and if not, the reasons therefor?

## ANSWER

## पेट Ō ोिलयम और Ůाक ृ ितक गैस मंũालय मŐ राǛ मंũी (ŵी सुरे श गोपी)

## MINISTER OF STATE IN THE MINISTRY OF PETROLEUM AND NATURAL GAS (SHRI SURESH GOPI)

(a)  &  (b):  The  Government  has  undertaken  various  policy  and  technological  initiatives  for exploration of wider areas to discover new potential sources of crude oil and natural gas. The Government  had  launched  Hydrocarbon  Exploration  Licensing  Policy  (HELP)  in  2016. Under, HELP, 09 Open Acreages Licensing Policy (OALP) bid rounds have been completed so far. Under these rounds, a total of 172 blocks measuring 380,603.23 Square Kilometers (sq km) have been awarded to the successful bidders through International Competitive Bidding. Further, OALP Bid Round-X, offering 25 blocks covering 1,91,986.21 sq. km, was launched on  15.04.2025.  Further  National  Oil  Companies  have  also  expanded  areas  of  exploration within their Petroleum Mining Lease areas for blocks under nomination regime. Other major initiatives of Government of India in this regard, inter-alia , include:

- i. Appraisal of Un-appraised areas in Sedimentary Basins under National Seismic Programme, 2017.
- ii. Policy Framework for exploration and exploitation of Unconventional Hydrocarbons under Existing Production Sharing Contracts (PSCs), Coal Bed Methane (CBM) Contracts and Nomination Fields, 2018.
- iii. Release  of  about  1  Million  Sq.  Km.  (SKM)  'No-Go'  area  in  offshore  which were blocked for exploration for decades, in 2022.
- iv. Government is also spending about Rs.7500 Cr. for acquisition of seismic data in onland and offshore areas and drilling of stratigraphic wells to make quality data  of  Indian  Sedimentary  Basins  available  to  bidders.  Government  has approved acquisition of additional 2D Seismic data of 20,000 LKM in onland and 30,000 LKM in offshore beyond Exclusive Economic Zone (EEZ) of India.
- v. New  technologies  like  Airborne  Gravity  Gradiometry  and  Gravity  Magnetic Survey,  Passive  Seismic  Tomography  (PST),  Low-Frequency  Passive  Seismic (LFPS)  Surveys  have  been  implemented  to  acquire  high  quality  data  for processing and interpretation.

As a result of these concerted efforts of Government of India, 34 Notices of Discovery (NoD) have been submitted by operators to the Directorate General of Hydrocarbon (DGH) during the last three years.

(c) & (d):  Government has taken various steps to encourage setting up Compressed Bio-Gas (CBG)  plants  across  the  country.  These  steps  includes  assured  price  for  off-take  of  CBG through  long  term  agreements  with  Oil  and  Gas  Marketing  Companies  (OGMCs);  the Umbrella  Scheme  of  National  Bio  Energy  Programme  by  the  Ministry  of  New  and Renewable  Energy,  which  inter-alia  provided  Central  Financial  Assistance  to  all  kind  of CBG/biogas  plants;  Additional  Central  Assistance  for  Municipal  Solid  Waste-based  CBG projects under Swachh Bharat Mission Urban 2.0; the inclusion of bio-manure produced from CBG plants  as  Fermented  Organic  Manure  and  Liquid  Fermented  Organic  Manure  under Fertilizer Control Order 1985; Market Development Assistance to promote Organic Fertilizer produced  from  CBG  projects  by  Department  of  Fertilizers;  the  inclusion  of  CBG  projects under  'White  Category'  by  Central  Pollution  Control  Board  on  case  to  case  basis;  the inclusion of CBG projects under Priority Sector Lending by RBI; loan products from various Banks for financing of CBG projects; etc.

Further, the Ministry of Petroleum and Natural Gas has taken initiatives such as guidelines for synchronization of CBG with CNG in CGD Network; a scheme for the development of pipeline  infrastructure  (DPI)  for  injection  of  CBG  into  the  City  Gas  Distribution  (CGD) network;  a  scheme  to  support  CBG  producers  for  procurement  of  Business  Aggregation Machinery (BAM) Scheme; and phase wise mandatory blending of CBG  in CNG  (T) and PNG (D) segment of CGD network.

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