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India’s journey to a greener, self-reliant energy future is gaining momentum, fuelled by a collective sense of purpose and a growing number of successful projects. While significant challenges in finance, policy, and infrastructure remain, a powerful narrative of innovation and collaboration is emerging from the heart of the bio-energy sector. Experts at the recent International Conference on Bio-energy and Technologies Transition to Net Zero see the current hurdles not as roadblocks, but as essential guideposts for a more robust and sustainable industry.
The sense of optimism was palpable, with speakers highlighting the sector’s immense potential to tackle both India’s energy import dependency and its massive waste problem. “India wants to be a developed nation by 2047, and for that we have to utilise our waste,” said S N Yadav, Executive Director (CBG) at GAIL (India) Ltd.
He asserted that India’s “garbage” is a vital resource that can be converted into Compressed Biogas (CBG), addressing both environmental and energy security concerns.
The conference showcased tangible signs of progress, demonstrating that a ‘just energy transition’ is not just a slogan. Dr Tushar Patil from Praj Industries shared a major breakthrough, recounting how a joint venture with Indian Oil managed to commission a commercial ethanol plant in just three months—a process that previously took five years. This “joint effort”, he said, shows that with the right partnerships and commitment, scalability can be achieved at an accelerated pace.
Furthermore, India is already witnessing success in its Ethanol Blending Programme (EBP), with Anurag Saraogi of BPCL describing the need for a complete ecosystem—from feedstock to distillation capacity—to align.
The focus now, as stated by P.K. Banerjee of the Society of Indian Automobile Manufacturers, is to “consolidate the success” and look “beyond 2025” to leverage full end-to-end capacity. This forward-looking perspective, rather than just focusing on current targets, underscores the industry’s confidence.
However, the path forward is not devoid of obstacles. Panelists openly discussed the ‘unattractive’ financial viability of projects, especially for new CBG plants. Ashish Kumar, Vice President of IFGE, said, “For one kg of CBG sold, you are earning close to $ 50 in Europe. We are getting $16-17.” He said the current revenue model, which heavily relies on selling solid and liquid organic manure, is not enough to incentivise producers to expand.
Another key concern is the higher production cost of 2G ethanol compared to its first-generation counterpart, a point raised by Dr S.S.V. Ramakumar. Despite its superior environmental benefits, 2G ethanol’s economic viability remains a challenge that requires a clear pricing policy. But even these challenges are seen as opportunities. The current difficulties are pushing the industry to innovate and find solutions. For instance, GAIL is leading the way in off-taking CBG, and companies like Indraprastha Gas Limited (IGL) are working to bridge the “last-mile connectivity gap”.
Discussions on monetising biogenic CO2 and leveraging municipal waste bodies for groundwork show a sector actively seeking creative solutions.
Ultimately, the consensus was that with strategic government support, India can unlock its true bio-energy potential. The call for a “feeding tariff” and greater collaboration with financial institutions, as proposed by REnergy Dynamics’ CMD Kushagra Nandan, is a positive and proactive step. It is a sign that the industry is not just waiting for solutions but is actively proposing them. The journey is long, but with a clear vision and a commitment to address these challenges head-on, India’s bio-energy sector is on a promising path to a cleaner, more secure future.
India’s Growing Steps in the Energy Sector! At the 2nd edition of India Bio Energy Tech Expo 2025 today, we witnessed a remarkable display of India’s technical capabilities and innovation. Such events showcase India’s progressive thinking and sustainable development in the field of Bioenergy to the world.— Manjinder Singh Sirsa, Minister for Environment, Forest & Wildlife, Govt. of Delhi
The cost of production of second-generation Ethanol is obviously going to be higher in spite of all the optimization that we might make. It is higher than first-generation ethanol, and if both of them are to be blended in petrol, then 2G ethanol can never compete on cost grounds with 1G ethanol. — Dr. SSV Ramakumar, EVP/ CTO Greenko / AM Green
Once the supply mechanism is reliable, pipeline injection is clearly better than CNG or cascade delivery. It ensures safety, system integrity, and operational continuity, while reducing dependency on fluctuating CBG production. This way, CGD entities can serve customers consistently without disruptions, even when CBG supply varies.— Mr. Manish Jain, Associate Vice President, Gujarat Gas
Second-generation ethanol offers higher GHG savings—greenhouse gas savings. Almost 70 to 90 percent of the CO2 emissions can be reduced when compared to Petrol, and also CO2 emissions can be reduced by 20 percent in two-wheelers and 30 percent in four-wheelers. Hydrocarbons can be reduced up to 20 percent.— Dr. Challa Kiran Kumar, Scientist-D, Climate, Energy and Sustainable Technology Division (CEST), Department of Science & Technology (DST)
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