India's Paddy Straw Magic: Rs 270 Crore Renewable Gas & Rs 1,600 Crore Bioethanol Bonanza!
November 24, 2025
Imagine millions of farmers burning 7.3 million tonnes of paddy straw every year in India — releasing tons of harmful smoke and gases into the air. But hold your breath! Instead of pollution, this straw can turn into a treasure chest of clean energy and money. The Indian Biogas Association (IBA) says this waste can be converted into renewable gas worth around Rs 270 crore annually using smart biogas plants.
What’s the magic? Latest anaerobic digestion tech can turn this straw into Compressed Bio-Gas (CBG), a powerful green fuel that can replace costly imported natural gas. But wait, there’s more! Paddy straw’s 40% cellulose content makes it perfect for creating bioethanol — a biofuel that can reduce India’s need for imports by a whopping Rs 1,600 crore! The leftover lignin can even be crafted into high-value products like polymers, Graphene, and activated carbon.
IBA Chairman Gaurav Kedia is excited: “This policy is likely to attract investments of Rs 37,500 crore and facilitate the setting up of 750 CBG projects in the country by 2028-29. More significantly, this represents an import-substituting move toward LNG, ensuring savings in precious foreign exchange by building energy security from domestic resources.”
The benefits are huge. Not only can this transform energy use, but it will generate thousands of jobs and create a booming bioeconomy. Part of this dream includes sustainable aviation fuel blending targets to boost green air travel by 2027.
Currently, burning straw is like setting off a carbon bomb — each tonne releases 1,460 kg of carbon dioxide and other nasty pollutants. Instead, India can use these innovative technologies to turn straw into gold. Cities like Delhi are already planting millions of trees to create green shields that soak up harmful gases and cool urban heat.
By combining fast-growing Miyawaki forests, highway green corridors, and community-led tree planting, India can fight pollution and protect the environment brilliantly. So, what was once a farmer’s problem is now India’s golden ticket to cleaner air, new industries, and proud energy independence!
Read More at Economictimes →
Tags:
Paddy Straw
Renewable Gas
Cbg
Bioethanol
Import Substitution
Energy security
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