Shares of GAIL India Ltd. rose on Friday after the Karnataka Cabinet allotted land for setting up a compressed biogas plant.
At 11:06 am, GAIL India shares were up 0.39% at ₹179.65 apiece even as the benchmark Sensex traded 0.34% higher at 81,823.77 points.
The state-run natural gas company has to set up a 300-tonne bio-CNG plant over 18 acres of land at Haralakunte village in Bengaluru South, Karnataka's Law and Parliamentary Affairs Minister H.K. Patil said on Thursday. The production capacity can be expanded to 500 tonnes/day.
The state government's revenue department, as well as Bengaluru Solid Waste Management Ltd., will first survey the land and then hand it over to GAIL India with proper maps.
- Bio-CNG is a purified, compressed form of biogas produced from organic waste. At 90% methane content, it's a viable alternative to fossil fuels while being significantly cleaner and renewable.
Against that backdrop, GAIL India wants to set up 26 compressed biogas plants—either standalone or via joint ventures—over the next couple of years, according to Renewable Energy India. That would entail a total investment of ₹1,300 crore.
The company's first CBG plant was inaugurated in Ranchi in October last year to process 150 tonnes of municipal solid waste every day, producing 5,000 kg of bio-CNG per day.
{{/usCountry}}The company's first CBG plant was inaugurated in Ranchi in October last year to process 150 tonnes of municipal solid waste every day, producing 5,000 kg of bio-CNG per day.
{{/usCountry}}Separately, GAIL India has a joint venture with TruAlt Bioenergy called Leafinti Bioenergy Ltd. to set up 10 new CBG plants.