BPCL to set up two CBG plants in Raipur and Bhilai

State-run Bharat Petroleum Corporation Limited (BPCL) signed a tripartite Memorandum of Understanding (MoU) with Chhattisgarh Biofuel Development Authority (CBDA) and the state municipal corporations of Raipur and Bhilai for the production of compressed biogas (CBG).

BPCL will set up CBG plants in the state capital Raipur and the industrial town of Bhilai. About 200 to 250 metric tonnes of municipal solid waste will be used in the production of biofuel every day.

BPCL will invest Rs 100 crore in the two plants, the spokesperson said, making the total capacity of each plant to 100-150 tonnes per day (TPT).

The construction of the plant would create direct and indirect employment of about 60,000 man-days per year in the state. On production and sale at full capacity in all CBG plants, the state will receive GST of Rs 20 lakh per annum.

The plants will have organic fertiliser as a co-product to encourage organic farming. Establishment of CBG plants will also prove to be a step towards Chhattisgarh Green War Room, which works to combat air pollution.

The CBDA has been making continuous efforts for the production of biofuel from municipal solid waste due to its immense potential.

The BPCL had planned to roll out 5,000 CBG plants across India in a phased manner by 2023-24. These plants are expected to produce 15 million tonnes of CBG per annum. It will facilitate affordable transport fuels, better use of agricultural residue, cattle dung and municipal solid waste, and provide an additional revenue source to farmers.