Cabinet Clears Rs 23,731-Crore GOBARdhan Scheme, Rs 8,970-Crore Assam Corridor

The Union Cabinet on Thursday cleared two major projects with a combined outlay of more than Rs 32,700 crore, approving a national compressed biogas programme and a four-lane highway corridor between Guwahati and Tezpur in Assam.

The Rs 23,731-crore GOBARdhan scheme is intended to expand domestic compressed biogas production and reduce India’s dependence on imported natural gas. Separately, the Rs 8,970.20-crore Guwahati-Tezpur corridor is expected to improve connectivity across the northern bank of the Brahmaputra while strengthening strategic and logistics infrastructure in the Northeast.

Rs 23,731-Crore Push For Compressed Biogas

The Cabinet approved the Galvanizing Organic Bio-Agro Resources Dhan, or GOBARdhan, scheme as part of the government’s efforts to strengthen energy security and promote the production of compressed biogas.

The decision comes against the backdrop of the continuing Middle East crisis, which has highlighted India’s exposure to disruptions in global natural gas supplies. India currently imports around half of the natural gas it consumes, while disruption around the Strait of Hormuz has affected an estimated 55 to 60 per cent of the country’s liquefied natural gas imports.

The government views compressed biogas, produced from agricultural residue, animal waste and other organic material, as a domestic alternative capable of reducing reliance on imported fuel.

Six Pillars Of The GOBARdhan Scheme

The programme rests on six principal components: assured purchase of compressed biogas, price stability, capital expenditure support, pipeline infrastructure, credit guarantees and a challenge fund for innovation.

A government-administered compressed biogas price is intended to protect buyers and producers from volatility in international fuel markets.

Under the capital support component, eligible projects can receive assistance of up to Rs 2 crore for every tonne per day of production capacity. The funding can be used for setting up plants, developing feedstock systems and purchasing machinery for processing organic manure.

The scheme also provides support for connecting compressed biogas facilities with trunk pipelines and city gas distribution networks.

MSME-led projects will be eligible for a credit guarantee covering up to 85 per cent of qualifying loans. The challenge fund will support district-level implementation, feedstock development, research, technological adoption, by-product value addition and public awareness.

Government Projects Jobs And Import Savings

Over a decade, the government expects compressed biogas production to increase tenfold and attract greater private investment.

The programme is projected to save more than Rs 40,000 crore in foreign exchange by reducing energy imports. It is also expected to replace around 10 million metric tonnes of fossil fuel with domestically produced gas.

According to government estimates, the industry could add more than Rs 75,000 crore to the country’s gross domestic product and create over 1.5 lakh jobs.

Converting waste into fuel is also projected to prevent more than 40 million tonnes of carbon dioxide emissions and produce around 250 million metric tonnes of organic fertiliser.

Cabinet Clears Guwahati-Tezpur Highway

In a separate decision, the Cabinet Committee on Economic Affairs approved the construction of a 135.87-km, four-lane, access-controlled corridor between Guwahati and Tezpur on National Highway-15.

The project, estimated to cost Rs 8,970.20 crore, will be developed under the build-operate-transfer toll model as part of the National Highways programme.

The government expects the corridor to double average travel speeds and reduce journey times by nearly half. It is also projected to improve road safety and fuel efficiency while lowering vehicle operating costs.

Emergency Landing Facility On Tezpur Bypass

The highway project will include a 4.9-km emergency landing facility on the Tezpur bypass, developed in coordination with the Indian Air Force.

The facility is intended to strengthen strategic infrastructure in the region. The corridor is also expected to reduce congestion on the NH-27 East-West Corridor, which runs along the southern bank of the Brahmaputra.

Five major bypasses, extending over a combined 58.7 km, will be constructed at Baihata Chariali, Sipajhar, Kharupetia, Dekiajuli and Tezpur. These bypasses are designed to divert highway traffic from densely populated areas.

Bridges, Flyovers And Wildlife Passage

The corridor will have 15 major bridges, 30 minor bridges, 19 flyovers and 46 underpasses.

Around 210 km of service roads will be constructed to allow local traffic to move alongside the access-controlled highway.

An elephant underpass has also been planned on the Tezpur bypass to facilitate wildlife movement and reduce the possibility of conflict between animals and vehicles.

Connectivity To Assam And Arunachal Pradesh

The new highway will improve access to major economic, social and logistics centres across Assam and neighbouring Arunachal Pradesh.

It will connect eight PM Gati Shakti economic nodes, including industrial parks, and improve access to the aspirational districts of Darrang and Udalguri.

The corridor will also strengthen connectivity to Kamakhya Temple, Kaziranga National Park and Orang National Park. Seven logistics hubs, comprising three major railway stations, two airports and two inland waterway terminals, are expected to benefit from the project.

Together, the two Cabinet decisions combine the government’s energy-security priorities with its continuing infrastructure push, with one programme aimed at building a domestic circular bioenergy industry and the other at improving strategic and economic connectivity in the Northeast.