IGL Set to Build 19 Biogas Plants Across 4 States

Indraprastha Gas Limited (IGL), India's leading city gas operator is diversifying its energy portfolio by venturing into compressed biogas production. This move aims to promote cleaner energy sources and reduce dependency on imported fuels. Through Memorandums of Understanding (MoUs) with technology partners, IGL plans to establish 19 compressed biogas plants across Delhi, Haryana, Rajasthan and Uttar Pradesh.

Environmental Impact

IGL's partnership with technology firms signifies its commitment to convert biogas from municipal and agricultural waste. Produced biogas will be blended with conventional gas and utilized as Compressed Natural Gas (CNG) for automobiles and piped gas for cooking and industrial purposes. This initiative aligns with the government's mandate to blend 1% of Compressed BioGas (CBG) with natural gas from April 2025, gradually increasing to 5% by 2028-29.

Establishment of these biogas plants is poised to reduce greenhouse gas emissions and mitigate environmental pollution. By converting waste into energy, IGL not only addresses waste management challenges but also contributes to cleaner air and a sustainable future. The initiative promises a win-win situation for stakeholders, including municipal authorities, farmers, City Gas Distribution (CGD) entities and the public.

Government Support

Municipal authorities stand to benefit from efficient waste management practices while farmers gain a sustainable solution for agricultural waste disposal. CGD entities will access cost-effective gas sources, ultimately translating into cheaper gas for consumers. Public will enjoy a cleaner environment, fostering healthier communities and sustainable development.

Indian government's emphasis on promoting alternate energy sources complements IGL's endeavors. Financial assistance promised by Finance Minister Nirmala Sitharaman for biomass aggregation machinery highlights government's commitment to supporting the biogas industry's growth. This collaborative effort between the public and private sectors signals a promising future for India's energy landscape.

On 25 January, IGL disclosed its financial performance for the October to December quarter. The company recorded a profit of ₹392 crore during this period marking a decline from ₹534.8 crore in the preceding quarter. Despite a 2.8% increase in revenue compared to the previous quarter, the company faced a decrease in margin by 250 basis points, settling at 15.9%.

Final Words

IGL's initiative to establish biogas plants marks a step towards sustainable energy production and environmental conservation. By embracing cleaner energy sources, India strengthens its resilience against global energy fluctuations and reinforces its commitment to a greener future. The partnership between IGL and technology firms exemplifies the power of collaboration in driving positive change and shaping a more sustainable tomorrow.