Blending Of Compressed Bio-Gas in CNG Transport Is Mandatory

    • CBG Blending Obligation (CBO) will promote the production and consumption of Compressed Bio-Gas (CBG).
    • The new rule is to move towards enhancing the use and adoption of CBG.
    • This was announced by the National Biofuels Coordination Committee (NBCC), chaired by Union Petroleum Minister (Mr Hardeep Singh Puri).


    • Increase demand for CBG in the CGD sector.
    • Import substitution for Liquefied Natural Gas (LNG).
    • Saving in Forex.
    • Promote circular economy.
    • To assist in achieving the target of net zero emission.

    NBCC Outcome:

    • CBO will be voluntary till FY 2024-2025 and mandatory blending obligation will start from 2025-26.
    • CBO shall be kept as 1%, 3% and 4% of total CNG/PNG consumption for FY 2025-26, 2026- 27 and 2027-28 respectively. From 2028-29 onwards CBO will be 5%.
    • A Central Repository Body (CRB) shall monitor and implement the blending mandate based on the operational guidelines approved by the Minister of Petroleum and Natural Gas.

    Other Discussions:

    • To promote the production of ethanol from maize with support from the Department of Agriculture and the Department of Food and Public Distribution (DFPD).
    • To further develop high starch-yielding varieties.
    • Improve the quality of maize DDGS (Dried Distillers Grain Solids) by removing aflatoxins.
    • Faster registration of new seed varieties with high starch.
    • To further promote maize training programs for distillers with seed companies.

    Important Announcement:

    • Sustainable Aviation Fuel (SAF/Bio-ATF) initial indicative blending percentage targets were set by the committee.
    • 1% SAF indicative blending target in 2027 (Initially for International flights).
    • 2% SAF blending target in 2028 (Initially for International flights).
Posted in Current Affairs.