By Feedstock (Biomass Agriresidues, Cattle Dung and Livestock Waste, Municipal Waste & City Wastewater, Pressmud (sugar & Distilleries)), By Application (Heating, Electricity Gener......ation, Transportation), By Technology (Anaerobic Digestion, Gasification, Fermentation, Fast Pyrolysis, Others), and others Read more
- Chemicals
- Sep 2026
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India Biogas Market Key Takeaways
- The India biogas market size is valued at around USD 1.32 billion in 2025 and USD 1.52 billion in 2026; it is projected to reach USD 4.98 billion by 2032.
- The estimated CAGR from 2026 to 2032 is around 21.87%, indicating strong growth.
- By feedstock, the cattle dung and livestock waste segment represented 28% of the Market in 2026.
- By application, the energy generation represented 33% of the Market in 2026.
- The industry is highly fragmented, with the top five players collectively accounting for nearly 26% share.
India Biogas Market Size and Outlook
The India biogas market is estimated at USD 1.32 billion in 2025 and USD 1.52 billion in 2026; it is projected to reach approximately USD 4.98 billion by 2032, representing a 21.87% CAGR. Growth is supported by increasing adoption across households, agriculture, dairy operations, municipalities, industrial facilities, and commercial establishments, with applications spanning transportation fuel, electricity generation, industrial heating, and captive energy.
Commercial-scale capacity expansion is emerging as a key growth factor. In June 2026, Maruti Suzuki announced approximately USD 15.8 million for two biogas projects, including a 10-TPD Kharkhoda plant and expansion of its Manesar facility from 0.2 TPD to 0.7 TPD. The Kharkhoda plant is expected to meet around 20% of the site's gas requirement, demonstrating growing industrial use of biogas for captive energy.
Meanwhile, plant scale and feedstock flexibility are improving. In February 2026, REnergy Dynamics reported that its Nagothane facility reached more than 21 TPD of CBG production at nameplate capacity. Financing is also supporting deployment; IOC-GPS Renewables secured approximately USD 88 million in non-recourse debt for nine 15-TPD CBG plants, representing 135 TPD of planned capacity. Together, these developments highlight capacity expansion, captive industrial demand, multi-feedstock processing, and project financing as key growth levers through 2032.
India Biogas Market Key Indicators
- India’s municipal waste stream is creating an expanding feedstock opportunity for waste-to-biogas projects. Urban areas generate approximately 1.5 lakh tonnes of municipal solid waste per day, of which around 1.14 lakh tonnes per day, or 75%, was being processed under the government’s reported framework. Greater segregation and scientific processing of organic waste increase the availability of biodegradable material for anaerobic digestion and Bio-CNG production, thereby supporting the biogas market.
- The waste-to-energy sector is expanding biogas and Bio-CNG production infrastructure. MNRE's Waste-to-Energy Programme supports projects converting urban, industrial, and agricultural waste into biogas, Bio-CNG, compressed biogas and power. The programme provides central financial assistance of up to USD 0.42 million per 4,800 kg/day of Bio-CNG capacity, subject to a maximum of USD 1.05 million per project, improving project economics and encouraging capacity additions.
- Compressed biogas infrastructure is expanding rapidly under the SATAT programme. More than 130 CBG plants had been commissioned by November 1, 2025, with additional projects under construction. During 2025 through November, a further 59 CBG plants totaling 684.33 tonnes per day of capacity were commissioned, indicating increasing conversion of agricultural, municipal and industrial organic waste into commercial gaseous fuel.
- Expansion of India’s city-gas infrastructure is strengthening the addressable market for upgraded biogas. By September 2025, India had expanded City Gas Distribution coverage to 307 geographical areas, with approximately 15.7 million domestic PNG connections and more than 8,400 CNG stations. This infrastructure provides established distribution and consumption channels for biomethane/CBG, supporting demand growth as biogas is increasingly upgraded and injected into or supplied alongside conventional gas networks.
- Mandatory CBG blending is creating structural demand for biomethane within the natural-gas system. The government introduced mandatory blending obligations for CBG in the CNG and PNG segments from FY2025-26, alongside financial support for pipeline connectivity and biomass aggregation. This converts CBG demand from a primarily voluntary fuel-substitution opportunity into a regulated component of the gas market, supporting long-term biogas-market expansion.
- India’s broader biofuel expansion is strengthening the policy and infrastructure ecosystem for biogas. Ethanol blending reached approximately 20% during ESY 2025-26, compared with less than 1.5% in 2013-14, while ethanol production capacity reached around 2,000 crore litres in 2026. The rapid expansion of biofuel infrastructure, procurement mechanisms and renewable-fuel policies demonstrates increasing institutional support for domestically produced alternative fuels, indirectly improving the investment environment for biogas and CBG projects.
India Biogas Market Scope
| Category | Segments |
|---|---|
| By Feedstock | Biomass Agriresidues, Cattle Dung and Livestock Waste, Municipal Waste & City Wastewater, Pressmud (sugar & Distilleries |
| By Application | Heating, Electricity Generation, Transportation |
| By Technology | Anaerobic Digestion, Gasification, Fermentation, Fast Pyrolysis, Others |
India Biogas Market Growth Drivers
Rising Demand for Clean & Renewable Fuel Alternatives
India’s demand for renewable gaseous fuels is strengthening as energy-security concerns and decarbonization efforts encourage substitution of fossil-based natural gas with domestically produced biogas. For instance, in August 2026, the Union Cabinet approved a USD 2.5 billion programme to expand biogas production and distribution, signalling a major scale-up of renewable-fuel infrastructure.
Moreover, the demand outlook is further supported by the CBG blending obligation, which requires CBG to account for 3% of CNG/PNG consumption in FY2026–27, rising to 4% in FY2027–28 and 5% from FY2028–29. This creates a progressively larger mandated market for renewable gas across transport and domestic gas applications. These developments are expanding Biogas offtake opportunities while encouraging waste-based fuel production, improving feedstock utilization, and supporting India’s broader transition toward lower-carbon energy.
- Market Segmentation
- Introduction
- Product Definition
- Research Process
- Assumptions
- Executive Summary
- India Biogas Market Policies, Regulations, and Product Standards
- India Biogas Market Trends & Developments
- India Biogas Market Dynamics
- Growth Drivers
- Challenges
- India Biogas Market Hotspot & Opportunities
- India Biogas Market Outlook, 2022-2032
- Market Size & Outlook
- By Revenues (USD Million)
- By Volume (Million Cubic Meters)
- Market Share & Outlook
- By Feedstock- Market Size & Forecast 2022-2032F, USD Million & Million Cubic Meters
- Biomass Agriresidues
- Cattle Dung and Livestock Waste
- Municipal Waste & City Wastewater
- Pressmud (sugar & Distilleries)
- By Application- Market Size & Forecast 2022-2032F, USD Million & Million Cubic Meters
- Heating
- Electricity Generation
- Transportation
- By Technology- Market Size & Forecast 2022-2032F, USD Million & Million Cubic Meters
- Anaerobic Digestion
- Gasification
- Fermentation
- Fast Pyrolysis
- Others
- By Region
- North
- East
- South
- West
- By Company
- Company Revenue Shares
- Competitor Characteristics
- By Feedstock- Market Size & Forecast 2022-2032F, USD Million & Million Cubic Meters
- Market Size & Outlook
- India Biomass Agriresidues Biogas Market Outlook, 2022-2032
- Market Size & Analysis
- Market Share & Analysis
- By Feedstock - Market Size & Forecast 2022-2032, USD Million & Million Cubic Meters
- By Technology- Market Size & Forecast 2022-2032, USD Million & Million Cubic Meters
- India Cattle Dung and Livestock Waste Biogas Market Outlook, 2022-2032
- Market Size & Analysis
- Market Revenues (USD Million)
- Market Share & Analysis
- By Feedstock- Market Size & Forecast 2022-2032, USD Million & Million Cubic Meters
- By Technology- Market Size & Forecast 2022-2032, USD Million & Million Cubic Meters
- Market Size & Analysis
- India Municipal Waste & City Wastewater Biogas Market Outlook, 2022-2032
- Market Size & Analysis
- Market Revenues (USD Million)
- Market Share & Analysis
- By Feedstock- Market Size & Forecast 2022-2032, USD Million & Million Cubic Meters
- By Technology- Market Size & Forecast 2022-2032, USD Million & Million Cubic Meters
- Market Size & Analysis
- India Pressmud (sugar & Distilleries) Biogas Market Outlook, 2022-2032
- Market Size & Analysis
- Market Revenues (USD Million)
- Market Share & Analysis
- By Feedstock- Market Size & Forecast 2022-2032, USD Million & Million Cubic Meters
- By Technology- Market Size & Forecast 2022-2032, USD Million & Million Cubic Meters
- Market Size & Analysis
- India Biogas Market Key Strategic Imperatives for Success & Growth
- Competition Outlook
- Company Profiles
- GAIL
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- Wartsila
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- Clarke Energy
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- GPS Renewable
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- PlanET-Biogas
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- Green Elephant Engineering Pvt. Ltd.
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- Bharat Bio Gas Energy Ltd.
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- KIS Group
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- Homebiogas
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- Spectrum Renewable Energy Pvt. Ltd.
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- Others
- GAIL
- Company Profiles
- Disclaimer
MarkNtel Advisors follows a robust and iterative research methodology designed to ensure maximum accuracy and minimize deviation in market estimates and forecasts. Our approach combines both bottom-up and top-down techniques to effectively segment and quantify various aspects of the market. A consistent feature across all our research reports is data triangulation, which examines the market from three distinct perspectives to validate findings. Key components of our research process include:
1. Scope & Research Design At the outset, MarkNtel Advisors define the research objectives and formulate pertinent questions. This phase involves determining the type of research—qualitative or quantitative—and designing a methodology that outlines data collection methods, target demographics, and analytical tools. They also establish timelines and budgets to ensure the research aligns with client goals.
2. Sample Selection and Data Collection In this stage, the firm identifies the target audience and determines the appropriate sample size to ensure representativeness. They employ various sampling methods, such as random or stratified sampling, based on the research objectives. Data collection is carried out using tools like surveys, interviews, and observations, ensuring the gathered data is reliable and relevant.
3. Data Analysis and Validation Once data is collected, MarkNtel Advisors undertake a rigorous analysis process. This includes cleaning the data to remove inconsistencies, employing statistical software for quantitative analysis, and thematic analysis for qualitative data. Validation steps are taken to ensure the accuracy and reliability of the findings, minimizing biases and errors.
4. Data Forecast and FinalizationThe final phase involves forecasting future market trends based on the analyzed data. MarkNtel Advisors utilize predictive modeling and time series analysis to anticipate market behaviors. The insights are then compiled into comprehensive reports, featuring visual aids like charts and graphs, and include strategic recommendations to inform client decision-making
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