The GOBARdhan scheme (Galvanizing Organic Bio-Agro Resources Dhan) is a national initiative launched by the Government of India in April 2018 as a component of the Solid and Liquid Waste Management (SLWM) under the Swachh Bharat Mission (Grameen) Phase II. The scheme was created to address the problem of managing cattle dung and other organic waste in rural areas, which became a priority after villages achieved Open Defecation Free (ODF) status, moving towards the next goal of ODF-Plus. Its core objective is the "Waste-to-Wealth" concept, aiming to convert biodegradable waste like cattle dung, agricultural residue, and kitchen waste into valuable resources.
The mechanism involves supporting communities and entrepreneurs to set up biogas and Compressed Bio-Gas (CBG) plants. These plants use anaerobic digestion to break down the organic matter, producing methane-rich biogas for cooking or electricity, and a residual slurry that is processed into organic manure. The scheme is coordinated by the Department of Drinking Water and Sanitation (DDWS) under the Ministry of Jal Shakti, but it connects to a multi-ministerial approach involving the Ministry of New and Renewable Energy (MNRE) and the Ministry of Petroleum and Natural Gas (MoPNG). A Unified Registration Portal was created for the registration and monitoring of these projects.
The scheme underwent a significant change with the approval of the GOBARdhan - National Circular Bioenergy Scheme by the Union Cabinet on August 6, 2026, with a total outlay of ₹23,731 crore. This new phase, implemented from FY 2026-27 to FY 2035-36, shifts focus to scaling up CBG production. Key provisions of the new scheme include an assured CBG Offtake framework with a mandatory blending obligation for City Gas Distribution (CGD) entities, rising from 3% in FY 2026-27 to 5% from FY 2028-29 onwards. It also establishes a stable administered CBG price of ₹2,110 per MMBTU and provides capital assistance of up to ₹2 crore per ton per day (TPD) of installed CBG capacity for eligible greenfield projects. This new framework aims to increase domestic CBG production nearly ten-fold and strengthen India's energy security.