Jodhpur’s 25 TPD CBG Project: A New PPP Model for Waste-to-Energy
Hello Businessman,
Today, I am sharing important information about a new opportunity in the Compressed Bio-Gas (CBG), waste management and circular economy sector.
The Municipal Corporation Jodhpur (MCJ), Government of Rajasthan, has invited a proposal for the selection of a concessionaire for collection and transportation of 25 TPD municipal solid waste, cattle dung and other approved feedstock, along with the development of an integrated CBG and circular economy resource recovery facility.
What makes this project particularly interesting is not only its CBG production potential, but also the PPP structure and financial model behind it.
A 25 TPD CBG Project With Expansion Potential
Under the proposed project, the initial processing capacity is 25 tonnes per day, with the provision to expand the facility up to 50 TPD.
The project will be implemented under a Design-Build-Finance-Operate-Transfer (DBFOT) model through a Public-Private Partnership.
The total concession period is 22 years, consisting of:
- 2 years for construction and development
- 20 years for operation and maintenance
The indicative estimated capital investment is ₹25 crore, while the final project cost is expected to be determined through the Detailed Project Report.
What Makes This PPP Model Different?
One of the most important aspects of this project is its financial structure.
The project does not provide capital grant, Viability Gap Funding (VGF), operational subsidy, tipping fee or minimum revenue guarantee from MCJ.
In simple terms, the selected concessionaire will be responsible for arranging the required equity, debt and other financial resources for developing and operating the project.
At the same time, the concessionaire will share a specified percentage of its gross monthly revenue with MCJ.
This makes the project an interesting example of a private-investment-led waste-to-energy model.
Where Will the Feedstock Come From?
The primary feedstock will be cattle dung collected from cattle owners, dairies, tabelas and institutional cattle sheds across Jodhpur.
Additional feedstock may include:
- Source-segregated wet waste
- Food and organic waste from hotels and restaurants
- Waste from marriage gardens
- Vegetable and fruit mandis
- Food processing units
- Other approved organic feedstock
- Energy crops such as Napier grass
The collected material will be transported to the facility through a structured collection and transportation network.
Technology Behind the Project
The proposed facility is expected to integrate several modern systems, including:
- Feedstock collection and pre-processing
- Segregation and material handling
- Anaerobic digestion
- Biogas purification
- CBG compression
- Cascading storage
- Digestate management
- Organic fertilizer production
- Leachate treatment
- SCADA/PLC-based automation
- Online monitoring systems
- Weighbridges and digital tracking
- GPS-enabled transportation
- CCTV surveillance
The objective is not simply to process waste, but to create an integrated resource recovery system where waste can be converted into useful commercial products.
Multiple Revenue Opportunities
Another important point for businesses considering the CBG sector is the project’s diversified revenue potential.
The revenue-sharing framework covers various potential revenue streams, including:
CBG | Bio-CNG | Organic Manure | Digestate | Bio-Fertilizers | Recyclables | Carbon Credits | Green Credits | RECs
This demonstrates how a modern waste-to-energy project can potentially generate value from multiple outputs rather than relying only on CBG sales.
Who Can Participate?
The eligibility criteria indicate that this is aimed at experienced businesses with relevant financial and technical capabilities.
Some of the key requirements include:
- Minimum 7 years of existence
- Average annual turnover of at least ₹8.50 crore
- Minimum net worth of ₹5 crore
- Experience with a minimum 10 TPD Biogas/Bio-CNG/CBG facility
- At least 2 years of relevant O&M experience
- Bid security of ₹50 lakh, subject to applicable exemptions
- Performance security of ₹1.25 crore
The RFP does not permit consortiums or joint ventures.
Therefore, businesses considering participation should carefully evaluate their technical experience, financial eligibility and project execution capability before proceeding.
Why This Project Is Important for the CBG Sector
Projects like this can play an important role in addressing multiple challenges at the same time.
Cattle dung and organic waste can create sanitation and environmental challenges when not properly managed.
Through anaerobic digestion, these materials can instead become feedstock for producing CBG and organic fertilizer.
This creates a circular model:
Waste → Collection → Processing → Biogas → CBG + Organic Fertilizer → Commercial Value
At the environmental level, the project can contribute to better waste management, reduction of uncontrolled methane emissions and increased availability of cleaner fuel.
Final Thoughts
The Jodhpur project represents an interesting approach to developing a municipal waste-to-CBG facility through private investment and revenue sharing.
Instead of treating cattle dung and organic waste only as a waste-management challenge, the model aims to convert these resources into clean fuel, organic products and commercial value.
For businesses looking to enter or expand in India’s CBG and circular economy sector, such PPP projects can provide useful insights into where the industry is heading.
The future of waste management may not simply be about disposing of waste — it may be about converting waste into energy, resources and new business opportunities.
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