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Nara Lokesh lays foundation stone for Reliance's Compressed Bio Gas plant in Andhra Pradesh

Reliance New Energy, a subsidiary of Reliance Industries Ltd (RIL), aims to set up 500 such plants over the next five years under its Rs 65,000 crore investment plan in the southern state.
April 02, 2025 / 22:27 IST
Minister Nara Lokesh lays foundation stone for RIL's CBG plant in Andhra

Andhra Pradesh IT Minister Nara Lokesh on Wednesday laid the foundation for a Compressed Bio Gas (CBG) plant in Prakasam district, the first of Reliance New Energy’s 500 CBG plants.

The project is being developed with a capital investment of Rs. 139 crores and is the first in a series of 500 projects involving a total capital outlay of Rs. 65,000 crores for AP. The plant will be developed with innovative technology and utilise Napier grass that would be developed on barren and waste lands to produce bio-gas. The project will result in significant livelihood to the rural economy through payment of lease revenues to the farmers, and additionally, a fixed price for the grass grown by farmers.

Nara Lokesh said, “I am delighted that we have been able to provide requisite support in record time and enable Reliance to break ground on this transformational CBG project at Prakasam district. This is the first of many and we aim that Reliance would develop 500 such projects across Andhra Pradesh with a total investment of Rs. 65,000 crores. Reliance Industries has been one of AP’s largest and most trusted investors over the past few decades and we are excited to extend this partnership into the CBG space.”

Being built on a 475-acre land parcel, the CBG plant will entail an investment of Rs 139 crore with a production capacity of 100 tons.

Further, it is expected to create employment for 2.5 lakh people.

The foundation-laying ceremony will mark the beginning of a transformative journey for Andhra Pradesh in the field of biofuels and organic manure production, said Chief Secretary K Vijayanand in a press release.

“The government is committed to fostering a strong public-private partnerships (PPP) to drive innovation, skill development, and economic growth in the green energy sector,” he added.

Reliance Executive Director P M S Prasad, who was present during the ground-breaking event, said, “We see this project as more than energy production. It will uplift communities and boost local economies. And it will drive Andhra Pradesh’s clean energy ambitions forward. Our initiative will equip our ANNA DAATAS with the tools and technology they need to become URJA DAATAS. Additionally, the byproduct from these plants will yield one crore tonne of Fermented Organic Manure to support farmers with a reduction of chemical fertilisers consumption. This will transform 15 lakh acres of barren land into fertile farmland, boosting farmer incomes. We (the state government and Reliance) share a united vision. A vision where Andhra Pradesh shines as a leading state of India. This bioenergy project is a major step in that direction, and we are committed to making it a reality. Together, we will turn waste into green wealth, energy into empowerment, and land into livelihood.”

Disclaimer: Moneycontrol is a part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.
Moneycontrol News
first published: Apr 2, 2025 09:48 pm

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