Bihar to Turn Wet Waste into Biogas, Oil Companies Get Land for 25-Year CBG Plants

Bihar to Turn Wet Waste into Biogas, Oil Companies Get Land for 25-Year CBG Plants

Bihar News : Bihar is preparing to convert wet and organic waste generated by urban local bodies into compressed biogas, or CBG. The state government has started the process of providing land for CBG plants in four cities — Muzaffarpur, Gaya, Bhagalpur and Bihar Sharif.

The plants will be set up on government land and operated by the concerned oil and gas companies for 25 years. After the agreement period ends, the rights over the plants will be transferred to the respective urban local bodies.

Land process begins in four cities

The state government has started the process of providing land for CBG plants in Muzaffarpur, Gaya, Bhagalpur and Bihar Sharif.

The plants will process wet and organic waste generated in urban areas and convert it into energy.

The initiative is linked to the GOBARdhan Scheme, under which work to establish waste-to-wealth plants in urban areas began in 2023 on the initiative of the Central government.

The objective is to process wet and biodegradable waste generated by urban local bodies and use it for energy production.

Oil and gas companies to operate plants for 25 years

According to the Urban Development Department, urban local bodies will enter into long-term concession agreements with oil and gas companies for a period of 25 years.

Municipal bodies will provide land free of cost, segregated organic waste and an access road to the plant. They will also arrange basic infrastructure, including water supply, sewage, drainage and electricity.

The entire capital and operational expenditure for setting up and running the plants will be borne by the oil and gas companies.

Companies to sell gas and other products

The concerned companies will use and sell the gas and other products generated by the CBG plants.

Oil and gas companies have been considered suitable for the project because they already have access to markets and strong distribution networks for the sale of the gas produced.

The Bihar government recently approved the proposal to set up compressed biogas plants in the four cities following a request from the Centre.

Municipal bodies to take over after 25 years

The arrangement is expected to help address the problem of wet waste disposal in urban areas while promoting a circular economy through the conversion of waste into energy.

The department has clarified that oil and gas companies will have rights over the plants for 25 years. After that period, the respective urban local bodies will take over the operation and maintenance of the facilities and will also have rights over the income generated from them.

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