Setting up a commercial CBG compressed Biogas / Bio CNG plant in India typically costs around ₹12 Crore to ₹16 Crore for a 3 TPD (Ton Per Day) plant and ₹30 Crore to ₹36 Crore for a 6 TPD plant, depending on the feedstock, technology and other factors.
Planning a 3 TPD / 6 TPD Bio CNG Plant in India?
We begin with a detailed feedstock catchment survey to evaluate the availability, suitability, and transportation costs of locally available raw materials. This assessment helps determine the optimal feedstock mix, plant configuration, project investment, and financial viability enabling you to make an informed investment decision before committing capital.
Project Setup Cost of Compressed Biogas Plant in India and Sizes, Production, Land Area –
As experienced CBG plant manufacturer & EPC company, we supply 3 TPD to 20 TPD. As a preliminary planning estimate, you can use:
| PLANT CAPACITY | FEEDSTOCK REQUIREMENT | APPROX. LAND | MANPOWER/ LABOUR | APPROX.
COST |
|---|---|---|---|---|
| 3 TPD BIO CNG Plant | 75 to 120 tons | 3–5 acres | 12-18 | ₹12-16 Cr |
| 6 TPD BIO CNG Plant | 132 to 160 tons | 5–6 acres | 30-35 | ₹30–35 Cr |
What Feedstock Do I Need For a CBG Plant?
CBG plants can run on agricultural residue, press mud, cattle dung, and organic industrial waste. We identify the most suitable feedstock mix based on local availability through a catchment survey during the feasibility study, helping you make an informed investment decision before committing capital.
Common Feedstock Types –
- Energy Crops: Napier grass (King/Elephant grass), maize silage.
- Agricultural: Paddy straw, wheat straw, and general farm/crop residues.
- Animal: Cattle dung / animal waste.
- Industrial & Municipal Waste: Press mud (from sugar mills), food waste, and municipal solid waste.
How Much Subsidy Does a 3 tpd & 6 tpd CBG Plant Get in India?
For a 3 ton per day & 6 ton per day compressed biogas (CBG) plant in India, the subsidy depends on the central government scheme, the type of feedstock, the state where the plant is located, and whether the project meets the scheme’s eligibility conditions.
The important distinction is between a capital subsidy for setting up the plant and other benefits, such as interest support, state incentives, or assured offtake arrangements.
Under the GOBARdhan Scheme in India, it qualifies for up to ₹6 crore in central financial assistance, calculated at ₹2 crore per TPD. Combined with healthy project margins, investors can expect a payback period of 3 to 5 years.
What Are the Other Advantages That Could be Utilized?.
Pipeline Connection: Up to 80% capital spent on all qualified connections from CBG clusters to trunk pipelines would be supported, or up to 50% for qualified independent connections to city gas distribution networks.
Guarantee: Crediting MSME projects under the scheme could make 85% of the amount remain payable in case of default.
Organic Fertilizer: Additional income and support for fermented organic fertilizer could be received.
State Incentives: Availability of other benefits will depend on the state of affairs and state policies.
All of these advantages will be based on their own eligibility requirements and therefore should not necessarily be added to the estimate of ₹6 crore.

Approvals and Timeline –
Pollution control board consent, land use, OMC offtake agreement, PESO and safety clearances, and a realistic timeline from DPR to commissioning.
We are the top leading bio cng plant manufacturer and EPC company in India, offering turnkey Bio CNG gas plants, engineering, manufacturing and installation services.

