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Gujarat Energy Plans 200 TPD Compressed Biogas Capacity With ₹100 Crore Investment

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Key takeaways

  • Gujarat Energy plans around 200 tonnes per day of compressed biogas capacity, split equally between Gujarat and locations outside the state.
  • The company proposes to hold a 49 percent stake in the joint venture companies, with selected partners holding the remaining 51 percent.
  • Gujarat Energy imported 24 LNG cargoes in the first half of FY27, compared with 14 in the same period last year.

Gujarat Energy Ltd has issued an expression of interest inviting joint venture partners to set up and operate compressed biogas plants, with around 200 tonnes per day of initial capacity and an investment of around ₹100 crore, the company's management said. BusinessLine reported the plan on November 7, 2026.

Gujarat Energy's 200 TPD Biogas Plan

The initial capacity is split equally, with 100 tonnes per day proposed in Gujarat and 100 tonnes per day outside the state. Individual plants are to range from 10 to 20 tonnes per day, depending on feedstock availability in each catchment area.

Gujarat Energy proposes to hold a 49 percent stake in the joint venture companies, with selected partners holding the remaining 51 percent. The joint ventures will own and operate the plants, while Gujarat Energy supports offtake through its city gas distribution network.

Feedstock is to be a mix of agricultural and organic waste, including paddy straw, press mud, Napier grass, cattle dung, poultry litter and other agricultural residues. Plants will sit within the company's city gas distribution areas or near the natural gas pipeline network of Gujarat Integrated Gas Ltd, so the biogas can be injected into and marketed through the distribution network or the pipeline.

"We have initiated our entry into the CBG ecosystem and have issued an EOI seeking partners to set up CBG plants," Avantika Singh, Managing Director of Gujarat Energy, told investors on Friday. "This initiative will support our CBG blending requirements, leverage existing natural gas infrastructure and in the long run reduce dependence on imported LNG."

The company is also exploring six LNG fuelling stations across its geographical areas to support the adoption of LNG in long-haul transportation. "We are also exploring the development of six LNG stations in our GAs with the objective of supporting the adoption of LNG in long-haul transportation," Singh added.

Gujarat Energy's Pipeline and Customer Base

According to akta.pro company records, Gujarat Energy was renamed from Gujarat Gas Limited in 2024 under the Composite Scheme of Arrangement-2024, repositioning it from a city-gas utility to a diversified energy company spanning piped natural gas, compressed natural gas, gas trading, exploration and production, and wind power. The same records put its gas pipeline network at more than 15,000 kilometres across 19 districts in Gujarat.

Earlier Moves Before the Biogas EOI

On November 6, 2026, Gujarat Energy held its Q2 2027 earnings call, where executives discussed financial results and answered analyst questions, TradingView reported. Two days earlier, The Times of India reported that Gujarat Congress questioned why piped gas prices in Gujarat exceed those in Rajasthan, citing Gujarat Energy charging Rs 1,377.04 per MMBTU against Rs 1,321 in Rajasthan.

What Comes Next for the Biogas Plans

The expression of interest seeks partners to set up and operate the compressed biogas plants, with the feedstock mix for each plant to be finalised based on availability in its surrounding catchment area.

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Sources

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