Big Opportunity in Compressed Biogas Sector: Indore Municipal Corporation Invites Tender for CBG Plant
The project involves the design, construction, and commissioning of a 15 Tons Per Day (TPD) Compressed Bio Gas plant. It is located at the existing 245 MLD Sewage Treatment Plant (STP) at Kabitkhedi, Indore. This initiative falls under the AMRUT 2.0 guidelines and the SATAT (Sustainable Alternative Towards Affordable Transportation) initiative, which aims to promote green energy and reduce import dependency on fossil fuels.
Last Date : 27th January 2026
Technical Specifications
- Primary Feedstock: The plant is primarily designed to utilize STP sludge from the existing 245 MLD facility.
- Supplemental Feedstock: To maximize gas generation, the Indore Municipal Corporation (IMC) allows the introduction of additional wet waste, green waste, industrial waste, cattle manure, or cow dung from outside sources (though these cannot be introduced into the existing STP units).
- Output Quality: The CBG produced must meet strict standards, including a minimum methane percentage of 90% and a maximum of 20mg/m³ of total sulphur.
- By-products: The operator has the rights to the liquid slurry generated from the CBG digester for manufacturing fertilizers, with revenue sharing incorporated into the bid.
Commercial and Partnership Model
- Partnership Type: The project operates on a Public Private Partnership (PPP) basis.
- Concession Period: The agreement is for 25 years, with a possible extension of 5 years, making it a maximum of 30 years.
- Financial Framework: Bids are awarded to the highest bidder (H1) based on an Annual Concession Fee (Annual Premium) and shared revenue.
- Base Premium: The basic offset price for the annual premium is set at ₹5,00,00,000 (5 Crores), which will increase by 3% compounded annually.
- Operator Rights: The PPP operator is granted land and raw sewage rights and is responsible for the marketing and sale of CBG and fertilizers.
Operational Timeline and Responsibilities
- Setup Period: The concessionaire is provided 18 months from the date of the agreement to complete the setup and reach the Commercial Operation Date (COD).
- Infrastructure: The operator is responsible for site development, including dewatering and desludging oxidation lagoon areas, and ensuring that the new CBG unit does not hinder the existing STP operations.
- Utility Costs: All electricity expenses during the operation and maintenance (O&M) of the CBG plant are the responsibility of the contractor.
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