Bhubaneswar: Prime Minister Narendra Modi today laid the foundation stone for a 300 TPD Compressed Bio-Gas (CBG) Plant at Meherpalli in Bhubaneswar.

The Prime Minister laid the foundation stone virtually during an event at Rairangpur in Odisha’s Mayurbhanj district.

The CBG project marks another significant milestone in Bhubaneswar Municipal Corporation's (BMC) efforts to transform municipal waste into valuable resources through scientific waste management practices while advancing Odisha's commitment to clean energy, resource recovery, and circular economy principles, said the state government.

The project is being implemented through a strategic partnership between the BMC and Oil India Limited (OIL). Once operational, the facility will process a substantial portion of the city's wet waste and convert it into clean and renewable Compressed Bio-Gas, significantly reducing dependence on conventional waste disposal systems and strengthening Bhubaneswar's integrated solid waste management framework.

The BMC had signed a Memorandum of Understanding (MoU) with Oil India Limited on December 16, 2024 for the establishment of the Bio-Methanation (Compressed Bio-Gas) Plant at Meherpalli. The project will be developed by the Oil India Limited at an estimated cost of Rs 175 crore.

Under the agreement, BMC has provided nearly 10 acres of land at Meherpalli and will ensure the supply of approximately 200 metric tonnes of segregated wet waste per day as feedstock for the plant. The facility has been designed with provisions for future expansion up to 300 TPD. Oil India Limited will be responsible for the operation and maintenance of the plant, ensuring efficient and professional management.

The plant will utilize advanced anaerobic digestion technology to scientifically process wet municipal waste and is expected to generate approximately 10–14 tonnes of Compressed Bio-Gas per day. The CBG produced will serve as a clean and renewable fuel, contributing to India's energy transition goals. In addition, the facility will produce nutrient-rich organic manure and liquid bio-fertilizers that can be utilized in agriculture, thereby promoting circular economy principles and supporting sustainable farming practices.

The project aligns with the objectives of the Swachh Bharat Mission and the Solid Waste Management Rules by ensuring scientific processing of municipal waste and reducing reliance on landfill-based disposal. Once operational, a majority of the wet waste currently transported to Transfer Stations (TTS) will be directly routed to the CBG plant for processing.

Besides enhancing waste management efficiency, the project is expected to significantly reduce greenhouse gas emissions by preventing open dumping and replacing fossil fuels with renewable bio-gas. The use of organic manure and liquid fertilizers generated from the facility will further reduce dependence on chemical fertilizers and contribute to improved soil health.

To ensure environmental sustainability, the plant has been designed with an in-built Effluent Treatment Plant (ETP) and other pollution-control measures for the proper treatment of leachate and process residues. These provisions will help maintain environmentally compliant and sustainable operations.

The project is also expected to generate substantial employment opportunities. More than 60 direct jobs will be created in plant operations, maintenance, and administration, while numerous indirect employment opportunities will emerge in waste collection, segregation, transportation, and allied services.

The establishment of the CBG plant represents a major step towards realizing the vision of ‘Waste to Wealth’ by converting municipal wet waste into clean energy and value-added products. It will strengthen Bhubaneswar's position as a leading city in sustainable urban waste management and environmental stewardship.