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Gujarat's Banas Bio-CNG Model: ₹60 Cr Budget for 10 Plants to Process 100 MT Dung Daily, Adopted by 15 States

Target:UPSC GS-IIIMPSCSSC GATeachingPrelims HighMains MediumStatic GK Link
26 Mar 2026
~2 min
Source: The Hindu
Key Data:₹60 crore10 plants100 MT per day₹1 per kg1,800 kg Bio-CNG daily6,750 tonnes annual CO2 reduction
Bodies:Banas DairyMinistry of Jal ShaktiMinistry of Cooperation
Practice MCQs from today's news ▸
What This Article Covers

1.Gujarat allocates ₹60 crore to expand the successful Banas Dairy Bio-CNG model, planning 10 new plants via cooperative milk societies.

2.The model processes 40-100 MT of dung daily per plant, paying farmers ₹1/kg, producing Bio-CNG and organic fertiliser, generating ~₹12 crore annual revenue per plant.

3.The initiative is a key exam case study linking renewable energy, rural economy, cooperative federalism, and India's waste-to-wealth and net-zero goals.

The Big Picture
Prelims · HighMains · Medium

Gujarat's Banas Dairy Bio-CNG model, a scalable waste-to-energy initiative converting cattle dung to biogas, is being adopted by nearly 15 states. The state government has allocated ₹60 crore to set up 10 such plants, integrating clean energy with the dairy sector and generating rural income while cutting carbon emissions.

Exam Lens

Quick Exam Facts From News

Budget Allocation₹60 crore
Number of New Plants10
Dung Processing Capacity (New Plant)100 MT per day
Farmers' Payment for Dung₹1 per kg
Daily Bio-CNG Output per Plant1,800 kg
Annual Carbon Emission Reduction6,750 tonnes

1-Minute Revision

  • ›Budget Allocation: ₹60 crore
  • ›Number of New Plants: 10
  • ›Target this Data: ₹60 crore allocation, 100 MT daily dung processing capacity, ₹1/kg payment to farmers.
  • ›Target this Nodal Body: Union Ministries of Jal Shakti and Cooperation (facilitating national adoption).
  • ›Target this Model: Banas Bio-CNG model developed by Banas Dairy in Banaskantha district, Gujarat.

Mastered this topic? Test your knowledge with a full MCQ quiz.

Practice exam-style questions, track your score, and strengthen your recall.

Q1Static LinkageEasy

The national adoption of the Banas Bio-CNG model is being facilitated by which Union Ministries, as per the article?

Q2Statement-basedHard

Consider the following statements regarding the Banas Bio-CNG model:

1. The existing plant in Banaskantha has a daily dung processing capacity of 40 metric tonnes.

2. Farmers supplying dung to the plants are paid at the rate of ₹2 per kilogram.

3. Each new plant is designed to handle about 100 metric tonnes of dung per day.

Which of the statements given above is/are correct?

Q3Data-centricMedium

What is the estimated annual carbon emission reduction contributed by a Banas Bio-CNG plant, as mentioned in the article?

Q4Application/ImpactMedium

What is a primary objective of expanding the Banas Bio-CNG model in Gujarat, as inferred from the article?

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