Financial Assistance to Compressed Bio Gas (CBG) Producers
Dear Businessman/Investors,
Introducing a scheme for financial assistance to Compressed Bio Gas (CBG).The Scheme aims to support CBG producers in adopting clean fuel technologies, managing agricultural waste effectively, and fostering entrepreneurship in the renewable energy sector. Through transparent and efficient implementation, the scheme seeks to accelerate the production and use of CBG, contributing to sustainable energy production and environmental conservation.
On February 2, 2024, the Ministry of Petroleum and Natural Gas of the Government of India issued a notification a subsidy program called “Financial Assistance to Compressed Bio Gas Producers.” This subsidy aims to provide financial support to producers of compressed bio gas so they can procure machinery for aggregating biomass.
The Total Budget for this Subsidy program is Rs. 564.75 crore, covering the period from the financial year 2023-24 to 2026-27.
Objectives :
The objective of seeking financial assistance under the scheme:
- The scheme aims to facilitate biomass aggregation, which is the gathering of leftover plant material.
- This helps farmers earn more money by selling their leftover plant material.
- The scheme also supports the conversion of this plant material into Compressed Bio Gas (CBG) and organic fertilizers.
- By using leftover plant material effectively, the scheme benefits both farmers and the environment.
- The scheme supports biomass collection for the first 100 plants that produce CBG from biomass.
Quantum of Assistance:
The quantum of assistance available for financial support under the scheme is as follows:
- CBG producers can get a grant for up to 50% of the cost of machinery used to collect biomass, or a maximum of Rs. 90 lakh per set, whichever is less.
- For a project with a capacity of 4 tons per day (TPD), financial assistance of Rs. 1.8 crore will be provided, with a maximum cap of Rs. 9 crore per project.
- The amount of assistance is based on the size of the project, up to a maximum of Rs. 9 crore.
Eligibility Criteria :
To be eligible for financial assistance under the scheme, CBG producers must meet the following criteria:
- Use at least 50% biomass (agricultural residue) as feedstock, as mentioned in the Daily Project Report (DPR).
- Have an installed or proposed CBG production capacity of at least 2 tonnes per day (TPD).
- Be registered on the GOBARdhan portal.
- Have not received any benefits, subsidy, or assistance for the machinery or equipment to be procured under this scheme from any other Central Government or State Government schemes.
Timeline :
The timeline for receiving financial assistance under the scheme is outlined below:
You can apply for financial assistance on a quarterly basis between the 1st and 30th of the every quarter. For example, for the quarter from April to June 2024, you can apply between April 1st and April 30th, 2024.
Selection Criteria of beneficiary:
The selection criteria for receiving financial assistance under the scheme are as follows:
- Commissioning date of the CBG plant: This is the date when the plant starts operating.
- Consent to operate from PESO: This is permission from the Petroleum and Explosives Safety Organisation to run the plant safely.
- Plan approval from PESO: This is approval from PESO for the plant’s construction plan.
- Consent to establish from CPCB: This is permission from the Central Pollution Control Board for setting up the plant.
- Date of filling of the application: This is the date when the application for financial assistance is submitted.
- Date of registration on the GOBARdhan Portal: This is the date when the plant is registered on the GOBARdhan Portal, which is a platform for managing waste to energy projects.
List of Machinery :
The list of machinery eligible for financial assistance under the scheme includes the following:
- Cutter/Rotary Slasher: A machine used to cut or slash vegetation.
- Tedder Machine: A machine used to spread and turn hay to help it dry evenly.
- Raker: A machine used to gather hay or grass into rows for easier collection.
- Tractor for baler: A tractor used to power a baler machine.
- Baler (Small/large/square/round/stationary): A machine used to compress and bundle hay, straw, or other agricultural materials into bales.
- Tractor for Tedder & Rake: A tractor used to power tedder and rake machines.
- Trolley (Flat, Single Axle, Local Fabricator)/Automatic bale loading trolley: A trolley used to transport bales of hay or other materials.
- Tractor attachment for Stacking (grabber)/telehandler: An attachment for a tractor used to stack bales or other materials.
- Moisture Meter: A device used to measure the moisture content of hay or other materials.
- Water Tank: A tank used to store water for various purposes.
- Fire Extinguisher: A device used to extinguish fires.
- Lightning Arrestor: A device used to protect against damage from lightning strikes.
Note :
- A Biomass Aggregation Machinery (BAM) set with a baler that can handle bales over 300 kg is a large baler set.
- A BAM set with a baler that can handle bales below 300 kg is a small baler set.
- The financial assistance limit for a large baler set can be used to procure three small baler sets instead.
Documents Required :
To apply for financial assistance, you need to provide the following documents:
- Detailed Project Report: A detailed plan of your project.
- Loan sanction letter (if you have taken a loan).
- GOBARdhan Registration Certificate: Registration on the GOBARdhan Portal.
- Current Status and Photographs: Recent pictures of the plant site with a timestamp and geo coordinates.
- Date of Commissioning and Consent to Operate (CTO) From State Pollution Control Board: Permission to operate the plant.
- For under construction plants: Plan approval from PESO and Consent to Establish from CPCB.
- Estimated cost of biomass aggregation machinery: Cost estimation from the Original Equipment Manufacturer (OEM) or authorized dealer.
- Bank Details: Your bank account information.
For, more information you are requested to contact our KIP subsidy helpline on Mail – sales@kipfinancial.com and Contact Number – +918683898080 , +919350068318
KIP Financial Consultancy Pvt. Ltd.
DSB – 38, Red Square Market, Hisar – 125001 (HR)
pls.sent detail biocng plant [ how much raw material for 5TPD cng ] and plant cost etc.
Welcome in KIP
Great thanks for showing interest.
Further, you’re requested to kindly share your contact number so that we can contact to you for your requirements.
You may also connect with us on 8683898080.
Thanks & Regards
CBG PLANT
Welcome in KIP
Great thanks for showing interest.
Further, you’re requested to kindly share your contact number so that we can contact to you for your requirements.
You may also connect with us on 8683898080.
Thanks & Regards