IGRPL, An IndianOil-GPS JV, Raises ₹836 Cr in Landmark CBG Financing Deal

IOC GPS Renewables Private Limited (IGRPL), a joint venture between IndianOil Corporation Ltd. (IndianOil) and GPS Renewables, focused on advancing India’s biofuels sector, has raised INR 836 crore (approximately USD 95 million) in debt financing from Indian Bank for the execution of 9 Compressed Biogas Projects across the country. The facility agreements were executed on 30th September in New Delhi between Indian Bank and IGRPL, represented by its CEO, Devendra Singh Sehgal, and CFO, Punit Jain.

This funding is the largest single-bank debt raise in the Compressed Biogas sector (CBG) (also referred to as Renewable Natural Gas or RNG). This is also the first case of a fully non-recourse debt raise in this sector.

The funds will be used towards development of CBG plants across India, with 4 projects in Haryana, 3 in Uttar Pradesh, 1 in Chhattisgarh and 1 in Andhra Pradesh. Each plant has a capacity to produce 15 tonnes of CBG per day and will use paddy straw as the primary feedstock. All 9 plants are expected to be completed and commissioned in 2026.

Commenting on the fundraise, Devendra Singh Sehgal, CEO, IGRPL (IOC and GPS Renewables Private Limited), said, “IGRPL was formed with an aim to scale India’s biogas infrastructure and drive wider adoption. This funding gives us the momentum to accelerate that mission. This is the first time that an OMC Joint Venture has secured a sanctioned loan for CBG projects without any corporate collateral, indicating IOCL’s strong credibility and the sector’s massive potential. This not only builds confidence among stakeholders but also encourages more large-scale investments in India’s clean energy sector”

Deepak Agarwal, MD, of GPSR ARYA (GPS Renewables’ asset platform), said, “Securing the largest single-bank funding in the CBG sector underscores the scale of the opportunity that exists. As the country makes significant strides towards a clean energy transition, our vision is to drive biofuel production and position India as a leading producer of renewable energy. This fundraise is a pivotal step in IGRPL’s journey as it enables us to execute our ambitious plan of building a nationwide network of CBG plants to significantly reduce our dependence on fossil fuels and lower greenhouse gas emissions.”

About IGRPL

IGRPL is a 50:50 Joint Venture by IndianOil and GPS Renewables Arya established in 2024. The joint venture will focus on integrating advanced biogas technologies to convert organic waste into Compressed Biogas (CBG), a cleaner and renewable energy source. This will significantly reduce greenhouse gas emissions while providing a sustainable alternative to traditional fossil fuels. By leveraging their combined expertise, IndianOil and GPS Renewables aim to accelerate the deployment of CBG plants nationwide. These initiatives complement IndianOil’s long-term low-carbon development strategy and to achieve operational net zero by 2046, which will also help achieve net-zero target by 2070 for our Country. CBG offers numerous benefits to India and the environment. For the country, it promotes energy security by reducing dependence on imported fossil fuels and supports the rural economy by creating local employment opportunities.

About IndianOil

IndianOil, a leader in the global energy sector and ranked 116th on the Fortune Global 500 list, is driving India's transition to cleaner and greener energy with a strong focus on sustainability. The company has set an ambitious target of achieving operational Net-Zero Emissions by 2046, aligning with India's national goal of Net-Zero by 2070. Alongside its green energy focus, IndianOil remains a major player in the oil and gas industry, operating a refining capacity of 70.25 million metric tonnes per annum (MMTPA) and an extensive pipeline network stretching nearly 20,000 kilometers. IndianOil processes over 1.6 million barrels of crude oil daily and operates more than 61,000 customer touchpoints, including 37,500+ fuel stations. The company also serves over 150 million LPG customers and is a leader in the petrochemicals and lubricants segments. At the forefront of hydrogen mobility,biofuels, and electric vehicle infrastructure, IndianOil has installed over 10,028 EV charging stations across India, along with battery swapping services at key locations. As a promoter of the Government's SATAT initiative, IndianOil is advancing Compressed Biogas (CBG) under its "IndiGreen" brand. Additionally, the company has expanded its ethanol initiatives, launching E20 fuel at more than 5,700 outlets and Ethanol 100 fuel at 400 locations. IndianOil’s innovative solar cooktop, ‘Surya Nutan,’ is further proof of its commitment to clean energy, with plans to deploy 350 units in Madhya Pradesh. Beyond its core businesses, IndianOil remains dedicated to environmental sustainability, investing over Rs 457 crore in CSR projects focused on healthcare, education, skill development, and women empowerment. As IndianOil leads the charge towards a greener future, it continues to power the nation’s progress while expanding its presence in international

About GPSR (GPS Renewables) Group

Headquartered in Bengaluru, GPS Renewables (“GPSR”) is a full-stack biofuels firm offering technology and project solutions for climate-positive biofuel projects. Starting from captive biogas plants, GPSR has scaled up to set up some of the world’s largest RNG plants. In 2022, GPS Renewables launched GPSR Arya Pvt Ltd (“ARYA”) a wholly-owned subsidiary, to commission BOO (Build-Own-Operate) projects, augmenting its climate impact ambitions.

GPSR has formed joint ventures with Indian Oil, Bharat Petroleum, and Oil India to build compressed biogas (CBG) plants across India. These plants will process agricultural and organic waste, reduce carbon emissions, and support the government’s SATAT initiative.

Noida-based Nexgen Energia Secures $1 Bn from Capital Edge

In a big news for India's green energy sector, NexGen Energia, a Noida-based firm specializing in Compressed Bio-Gas (CBG) production, has secured a $1 billion investment from Capital Edge, a Kuwaiti investment company. 

This funding will help NexGen Energia expand its CBG infrastructure across India, supporting the country's transition to clean energy and energy self-reliance.

The funding is equity-based, allowing NexGen Energia to scale operations without short-term repayment pressure.

The company aims to establish 1,000 CBG plants by 2026, contributing to India's clean energy transition. The investment aligns with India's National Bio-Energy Mission, which promotes bio-energy initiatives for sustainability and carbon neutrality.

The Kuwaiti firm, Capital Edge, specializes in high-impact investments across Asia, Africa, and the Middle East, focusing on scalable, sustainable projects.

The company aims to set up 1,000 CBG plants by 2026, significantly boosting India's renewable energy capacity 1. With the Indian government actively promoting bio-energy initiatives, this investment aligns well with national goals for sustainability and carbon neutrality.

NexGen Energia’s Director of Sales, Nishant Tiwari, emphasized that this funding will accelerate their vision of a greener India, fostering innovation, job creation, and energy independence.

This $1 billion investment in NexGen Energia's Compressed Bio-Gas (CBG) infrastructure is a significant step for India's renewable energy sector and has multiple far-reaching implications such as Job Creation, as setting up 1,000 CBG plants will generate employment opportunities, especially in rural areas. Moreover, farmers can sell agricultural waste to CBG plants, creating an additional revenue stream.

Globally, investments in renewable energy have surged, with clean energy spending now nearly double that of fossil fuels. In 2024, total energy investment is expected to exceed $3 trillion, with $2 trillion allocated to clean energy technologies and infrastructure.

Indian Oil-GPS Renewables JV is investing 1,200 crore to set up 10 CBG plants across India in FY26. These plants will produce 5,475 tonnes per annum (TPA) of CBG, along with fertilizers and biomass pellets. Locations include Haryana, Uttar Pradesh, Chhattisgarh, and Andhra Pradesh.

Last November, Reliance Industries announced a massive investment of ₹65,000 crore (approximately US$ 7.5 billion) to set up 500 CBG plants in Andhra Pradesh over the next 5 years.

The SATAT initiative (Sustainable Alternative Towards Affordable Transportation) aims to establish 5,000 CBG plants by 2023-24, with an estimated investment of ₹2 lakh crore. This program is designed to boost clean fuel availability and create employment opportunities.

Financial analyses indicate that CBG investments offer promising returns, with growing demand for biomass blending in coal-based power plants and fertilizer markets. However, challenges include securing skilled manpower and ensuring stable feedstock supply.

In Largest Investment Outside Gujarat Reliance to Invest ₹65,000 Cr in Andhra for 500 CBG Plants

Reliance Industries has announced a massive investment of ₹65,000 crore (approximately US$ 7.5 billion) to set up 500 compressed biogas (CBG) plants in Andhra Pradesh over the next five years. This investment is part of Reliance's clean energy initiative and is the largest investment by the company outside Gujarat.

Each plant will involve an investment of ₹130 crore. The project is expected to generate 250,000 direct and indirect jobs.

Reliance Industries has entered into a Memorandum of Understanding (MoU) with the Andhra Pradesh Government in Amaravati on Tuesday. The AP Energy department and Reliance Industries had signed and exchanged the MoU copies in the presence of Chief Minister N Chandrababu Naidu.

The state government estimates that this initiative will generate ₹57,650 crore in revenue over 25 years through SGST collection, electricity duty, and taxes.

The Andhra Pradesh government has introduced incentives for biofuel projects, including a 20% capital subsidy on fixed capital investment and full reimbursement of state goods and services tax (SGST) and electricity duty for five year.

This initiative aligns with the state's integrated clean energy policy and aims to rejuvenate wastelands while providing significant economic benefits.

The Reliance Industries biogas venture in Andhra Pradesh offers several benefits for farmers too.

The project will create 250,000 direct and indirect jobs, providing employment opportunities for local communities.

Farmers will receive training in the cultivation of energy crops (Napier Crops) , helping them adopt new agricultural practices and improve their productivity.

With 500 CBG plants in the state, farmers will be able to earn around ₹30,000 per acre per annum by cultivating energy crops (Napier grass). The production of around 39 lakh tonnes of CBG per annum (7,800 tonnes per plant) will give a fillip to the State GDP by aiding industrial growth. CBG produced from 500 plants can provide renewable fuel to 9.38 lakh light commercial vehicles daily replacing fossil fuel with green energy, said a government release.

Gruner Renewable Energy Raises $60 Mn to Expand Compressed Biogas (CBG) Plants Across India

Gruner Renewable Energy, a leader in sustainable biogas solutions in India, has announced that it has secured US$ 60 million in funding. This investment will enable Gruner Renewable Energy to further expand its presence in the green energy domain as it moves ahead to establish new Compressed BioGas (CBG) plants across the country.

The company is committed to enhancing its research and development (R&D) efforts as it aims to make substantial contributions toward Prime Minister Narendra Modi's vision of energy independence and sustainability for India.

"Establishing CBG plants in India is crucial for fostering a self-reliant and sustainable future. By promoting clean energy production and reducing dependence on imported compressed natural gas (CNG), we contribute significantly to India's vision of energy independence. The Union Budget 2023-24 announcement to establish 500 new waste-to-wealth plants under the GOBARdhan initiative has been a major boost for the sector. With 113 functional CBG plants, 667 in development, and 171 under construction, the growth is substantial. These policy enablers promote a circular economy and sustainable development. This investment in Gruner from like-minded partners will be essential for driving this transformation," said Utkarsh Gupta, Founder & CEO, Gruner Renewable Energy.

Gruner plans to utilize this funding to significantly enhance its operations and market presence. With a primary aim of introducing breakthrough technology and highly efficient processes in the biogas industry, a substantial portion of the investment will be allocated to advancing research and development (R&D) initiatives, focusing on increasing energy efficiency and the accuracy of biogas production, targeting a projected substantial increase in energy output efficiency. Additionally, the funds will support business expansion, including establishing new biogas plants across India, scaling up CNG retail outlets, and exploring new business verticals such as sustainable aviation fuel (SAF) and green hydrogen. This strategic investment is expected to exponentially increase Gruner's market share over the next five years.

"As the Modi 3.0 government has taken charge, the biofuels industry anticipates policy reforms that will facilitate the expansion of new CBG projects nationwide. Biofuels will be essential in helping the country achieve its net zero ambitions. Government subsidies, tax credits, and substantial funding for R&D will be crucial in leveraging the opportunities inherent in CBG projects. This vision aligns with the goal of 'Viksit Bharat' (Developed India), where sustainable and self-reliant energy solutions drive economic growth and environmental stewardship,” added Utkarsh.

According to Utkarsh, encouraging the cultivation of energy crops through direct subsidies and financial incentives for farmers is essential. This approach not only supports the agricultural sector but also ensures a steady supply of feedstock for biogas production. By providing these incentives, the government can promote sustainable farming practices and contribute to the growth of the renewable energy sector. This strategy will help build a self-reliant and sustainable future for India.

A reflection of its commitment towards a cleaner and greener future for India, Gruner Renewable Energy is also establishing Asia's largest CBG plant in Navsari, Gujarat.

Established in February 2023, Gruner Renewable Energy has quickly become a premier provider of sustainable energy solutions, dedicated to reducing carbon footprints and achieving sustainability objectives. Leveraging advanced German technology, the company offers end-to-end solutions encompassing the entire plant setup process. Gruner Renewable is a proud member of the Indian Biogas Association, driven by a vision to revolutionize India's energy industry.

Revolutionizing Biogas Production

Gruner Renewable excels in installing top-tier biogas plants known for their affordability and user-friendliness. Headquartered in Noida, the company has achieved remarkable success in a short period, surpassing a turnover of INR 40 crores within just five months of its inception and currently managing over 50 projects. Starting with a team of four, Gruner has grown into a conglomerate with 200 employees.

Gruner Renewable Energy is committed to paving the way for a greener and more sustainable future. Their expertise in biogas production aims to mitigate environmental impact while promoting renewable energy sources. The company's strategic approach to using high-yield, cost-effective feedstocks ensures the production of high-quality biofuel, addressing significant waste disposal challenges and contributing to a cleaner environment.

IndianOil and GPS Renewables Form Joint Venture for Sustainable Energy Solutions

In a landmark step towards fostering sustainable energy solutions in India, IndianOil, the ‘Energy of India’, has entered into a Joint Venture Agreement with GPS Renewables Private Limited, one of the leading biofuels Companies in the country. This association will pave the way for the formation of a 50:50 joint venture company dedicated to advancing biofuel adoption across the country.

The agreement was signed by Mr Mainak Chakraborty, CEO & Co-Founder, GPS Renewables Pvt Ltd. and Mr Santanu Gupta, ED (Alternative Energy), IndianOil in the presence of IndianOil dignitaries Mr Sujoy Choudhury, Director (P&BD), Mr Senthil Kumar N., Director (Pipelines) with Addl. Charge of Director (Refineries) and Mr Alok Sharma, Director (R&D). Mr. V Subramaniam, Chairman of GPS Renewables was also present besides other senior officials from both the organizations.

The joint venture will focus on integrating advanced biogas technologies to convert organic waste into Compressed Biogas (CBG), a cleaner and renewable energy source. This will significantly reduce greenhouse gas emissions while providing a sustainable alternative to traditional fossil fuels. By leveraging their combined expertise, IndianOil and GPS Renewables aim to accelerate the deployment of CBG plants nationwide. These initiatives complement IndianOil’s long-term low-carbon development strategy and to achieve operational net zero by 2046, which will also help achieve net-zero target by 2070 for our Country. CBG offers numerous benefits to India and the environment. For the country, it promotes energy security by reducing dependence on imported fossil fuels and supports the rural economy by creating local employment opportunities.

IndianOil is a diversified, integrated energy major with business interests encompassing the entire hydrocarbon value chain - from refining, pipeline transportation & marketing to exploration & production of crude oil & gas, petrochemicals, and alternative energy sources. IndianOil is relentlessly working on green energy pathways to catalyse India’s green transition, including emission mitigation, energy efficiency, fuel replacement and renewable energy projects.

GPS Renewables is a full-stack biofuels firm offering technology and project solutions for climate-positive biofuel projects. Starting from captive biogas plants, GPS Renewables has scaled up to set up some of the world’s largest CBG plants, including the flagship 15 TPD CBG Plant in Indore, Madhya Pradesh.

Asia's Largest Compressed Biogas (CBG) Plant Coming Up Gujarat's Navsari; To Produce Over 16K Tons of Biogas Annually

• Gruner Renewable to Build Asia’s largest CBG Plant in Gujarat; to Invest Rs 220 crores
• Gujarat is currently seeing significant interest in the green energy space, with major Indian business conglomerates announcing new renewable energy projects in the state.

Gruner Renewable Energy, in collaboration with a leading business conglomerate, is all set to establish Asia's largest Compressed Biogas (CBG) plant in Navsari, Gujarat. This will mark a significant step towards a cleaner and greener future for India and in line with the government’s efforts to increase dependency on renewable energy solutions. The estimated cost of this plant at Navsari is approximately Rs. 220 crores.

The flagship CBG plant in Navsari is expected to produce an impressive 44 tons of biogas per day (TPD) using cost-effective feedstocks such as paddy, pressmud, canetrash and OF MSW. This equates to an annual production of over 16,000 tons of biogas, highlighting the plant's significant contribution to PM Narendra Modi's vision for India's energy independence and sustainability goals.

Gujarat is currently experiencing a surge of interest in the green energy sector, with major Indian business entities announcing new renewable energy projects in the state. In 2018, Gujarat pioneered the nation's first Hybrid Policy, resulting in an installed capacity of 1,373 MW. Beyond wind and solar energy, the state has diversified its renewable energy portfolio.

Utkarsh Gupta, Founder & CEO of Gruner Renewable Energy, emphasized the company's efforts to address climate change and promote economic growth through sustainable energy solutions. “Since our inception in 2023, Gruner has been committed to mitigating climate risks by converting waste into biogas, thereby promoting environmental sustainability. As India work towards decreasing reliance on fossil fuels, opening of plants like Navsari is going to play a critical role in meeting our goals of championing sustainable energy solutions. Furthermore, in addition to generating employment opportunities within the biofuel sector, the establishment of CBG plants will significantly reduce our country's crude oil import bill,” added Gupta.

The Navsari CBG plant is a crucial step in India's CBG-based rural economy master plan. The local population will directly or indirectly benefit by the opening of this plant with work opportunities created for stakeholders like farmers, suppliers, labourers and youth among others.

Gruner has strategically planned this facility, from selecting high-yielding and cost-effective feedstocks like pressmud, paddy, OF MSW and canetrash to its optimal location. These choices will ensure high-quality biofuel production while simplifying the feedstock supply chain, improving availability, and eliminating pretreatment costs. Additionally, by converting industrial waste products into CBG, the new plant will address disposal challenges and help to reduce environmental pollution.

While speaking at the inaugural ceremony of India Energy Week (IEW) earlier this year, PM Modi stated that India’s energy sector will see an investment of over $67 billion over the next five years. He also unveiled plans for the establishment of 5,000 CBG plants across India.

Based on Indian Oil Corporation Ltd. (IOCL’s) white paper on CBG, the estimated CBG potential from various sources in India is nearly 62 million metric tons (MMT) with bio manure generation capacity of 370 MMT.

According to data from the Petroleum Planning and Analysis Cell, India's gas production stands at 29,769 million metric standard cubic meters (mmscm) against a consumption of 55,256 mmscm. This results in a shortfall of 25,488 mmscm, or 46.12% of total consumption, currently met through imports. “CBG has the potential to bridge this gap, and Gruner Renewable Energy recognized this critical need early on, understanding the importance of CBG in the growth of India's renewable energy sector. We expect that the push for renewable energy will further strengthen under the term of the new government,” said Gupta.

With an unwavering focus on innovation and sustainability, Gruner Renewable Energy continues to spearhead the revolution in the biogas industry. The company remains steadfast in its commitment to delivering cutting-edge solutions that drive business growth while fostering positive environmental and societal impacts.

About Gruner Renewable Energy:

Established in February 2023, Gruner Renewable Energy has quickly become a premier provider of sustainable energy solutions, dedicated to reducing carbon footprints and achieving sustainability objectives. Leveraging advanced German technology, the company offers end-to-end solutions encompassing the entire plant setup process. Gruner Renewable is a proud member of the Indian Biogas Association, driven by a vision to revolutionize India's energy industry.

Gruner Renewable excels in installing top-tier biogas plants known for their affordability and user-friendliness. Headquartered in Noida, the company has achieved remarkable success in a short period, surpassing a turnover of INR 40 crores within just five months of its inception and currently managing over 50 projects. Starting with a team of four, Gruner has grown into a conglomerate with 200 employees.

Gruner Renewable Energy is committed to paving the way for a greener and more sustainable future. Their expertise in biogas production aims to mitigate environmental impact while promoting renewable energy sources. The company's strategic approach to using high-yield, cost-effective feedstocks ensures the production of high-quality biofuel, addressing significant waste disposal challenges and contributing to a cleaner environment.