From Waste to Fuel: India’s Bioenergy Sector Eyes ₹2,800 Crore Investment 

REI Expo 2026 bioenergy investment could exceed ₹2,800 crore, says IBA. Explore the biogas projects and policies behind the forecast.

India’s bioenergy sector could see more than ₹2,800 crore in fresh investment as the Renewable Energy India Expo (REI) 2026 brings investors, technology companies, developers and policymakers together in Greater Noida next month. The investment pipeline is being projected by the Indian Biogas Association (IBA), with biogas and compressed biogas (CBG) expected to be among the key focus areas at the three-day event. The expo comes soon after the Union Cabinet approved the ₹23,731 crore GOBARdhan National Circular Bioenergy Scheme, which took effect on September 1 and aims to expand CBG production and attract private investment into India’s circular bioeconomy.

Bioenergy takes centre stage at REI Expo

Renewable Energy India Expo 2026 will be held from October 22 to 24 at the India Expo Mart & Centre in Greater Noida. According to the IBA, the expected ₹2,800 crore investment pipeline would be equivalent to nearly 12% of the ₹23,731 crore GOBARdhan scheme outlay. The association said the event could help connect investors and project developers with technology providers and policymakers, potentially turning recent policy support into larger commercial bioenergy projects.

The expo’s Bio-Energy Pavilion, supported by the IBA, is expected to be the largest such pavilion at the event so far, with 35% more exhibitors than in 2025. It will feature companies and startups working on waste-to-energy systems, CBG technologies, co-digestion models and digital monitoring. The pavilion is being supported by the Ministry of New and Renewable Energy and the Ministry of Petroleum and Natural Gas.

GOBARdhan scheme aims to expand CBG production

The investment push comes as the government seeks to scale up compressed biogas production in India. The GOBARdhan National Circular Bioenergy Scheme, approved in August 2026 and effective from September 1, is being implemented through 2035-36. It aims to increase domestic CBG production nearly tenfold, attract private investment and develop a wider circular bioeconomy based on organic and agricultural waste. 

The scheme includes an administered CBG price of ₹2,110 per MMBtu, assured offtake mandates for the CNG and PNG sectors and capital assistance of up to ₹2 crore per tonne per day for greenfield CBG plants. It also provides support for pipeline infrastructure and credit guarantees. These measures are intended to provide greater certainty to developers as the sector moves from individual projects towards larger-scale deployment.

India looks to turn waste into energy

The IBA estimates that India has the potential to produce more than 62 million tonnes of CBG annually. It said wider use of CBG could reduce dependence on imported fuels while creating employment linked to waste collection, processing and plant operations. The association also sees potential applications extending beyond transport, including green hydrogen production and other parts of the clean energy economy. 

IBA President A R Shukla said the sector is moving beyond its earlier image as primarily a rural solution and is becoming part of India’s broader clean energy strategy. The association expects REI 2026 to demonstrate how policy support, technology and investment can help scale up projects across the country. 

The expo is expected to attract more than 70,000 participants from India and abroad, covering bioenergy as well as solar, wind, hydrogen, electric mobility and energy storage. For India’s bioenergy industry, the ₹2,800 crore figure remains an expected investment pipeline rather than confirmed investment, but the event reflects the growing policy and private-sector focus on CBG and waste-based energy. 

References:

REI Expo 2026 could unlock ₹2,800 crore bioenergy investment pipeline, says IBA

https://www.pib.gov.in/PressReleasePage.aspx?PRID=2295480&reg=48&lang=1

https://energy.economictimes.indiatimes.com/news/oil-and-gas/india-has-62-mmt-annual-compressed-biogas-potential-animal-waste-could-become-the-biggest-contributor-report/134183799

Banner image: Photo by UnKknown Traveller on Unsplash 

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Vivek Saini
Vivek Saini
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