SATAT scheme completes six years on Oct 1: All about the initiative for India’s biogas push

SATAT scheme offers an efficient solution for treatment and disposal of municipal solid waste management and help in tackling urban air pollution problem due to farm stubble-burning.

The SATAT (Sustainable Alternative Towards Affordable Transportation) scheme will complete six years on October 1. This initiative was launched by the Ministry of Petroleum and Natural Gas in collaboration with several oil public sector units like Bharat Petroleum Corporation, Hindustan Petroleum Corporation, Indian Oil Corporation and more in 2018.

Under this, Oil and Gas Marketing Companies (OGMCs) invite Expression of Interest (EOI) to procure compressed biogas (CBG) from potential entrepreneurs to set up CBG plants under SATAT scheme, and supply CBG to OMCs for sale as automotive & industrial fuel.

What are its objectives?

The initiative aims to produce CBG from waste and bio-mass sources like agricultural residue, cattle dung, sugarcane press mud, Municipal Solid Waste (MSW) and sewage treatment plant waste.

The initiative helps in reducing dependence on imported fuel, creating  jobs in the alternative fuels industry and reduces of carbon emissions and pollutants from burning of agriculture waste.

Benefits

SATAT scheme offers an efficient solution for treatment and disposal of municipal solid waste management and help in tackling urban air pollution problem due to farm stubble-burning.

It will boost entrepreneurship, rural economy and employment opportunities and provide additional source of revenue to farmers.

It will also help to bring down nation's dependency on natural gas and crude oil imports and act as a buffer against crude oil and gas price fluctuations.

Also Read | Indian Oil JV firm to raise up to Rs 1,200 crore to finance CBG plant projects

Investment Bonanza

Indian Biogas Association (IBA) is expecting around Rs 1,600 crore investment in the sector during Renewable Energy India Expo (REI) 2024.

India holds significant promise for biogas development, with its potential to generate around 62 million tonnes of compressed biogas annually, equivalent to replacing nearly 7 percent of the country's current fuel consumption.

Several energy companies in India including Reliance Industries Limited (RIL), Indian Oil Corporation Limited and Bharat Petroleum Corporation Limited have pledged to set up CBG plants.

Finance Minister Nirmala Sitharaman said  that the government would provide financial assistance for the procurement of machinery to help in biomass collection.

While presenting the Interim Budget in February, Sitharaman said the mandatory blending of compressed biogas in compressed natural gas (CNG) and piped natural gas (PNG) would be mandated.

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