HPCL starts building 3-CBG plants in UP, AP & Punjab

State-owned Hindustan Petroleum Corporation Ltd (HPCL) has started the construction of three greenfield compressed biogas (CBG) plants in Eluru, Andhra Pradesh; Bareilly, Uttar Pradesh; and Ludhiana, Punjab. The CBG projects are being built through company’s wholly-owned subsidiary HPCL Renewable and Green Energy (HPRGE).

The company said that it’s also advancing sustainable aviation fuel (SAF) production, with a 7.4 KTPA commercial unit under development at its Visakh Refinery.

The CBG plants will convert agricultural residues and organic waste into clean transportation fuel and organic manure, strengthening India’s domestic biofuel value chain. The projects align with the government’s GOBARdhan framework, which supports CBG production through assured offtake, administered pricing, capital assistance, pipeline connectivity and credit guarantees.

Mohit Dhawan, CEO, HPCL Renewable and Green Energy, said, “India’s biofuel transition is entering an important phase where policy, technology and on-ground infrastructure are coming together. The GOBARdhan scheme provides the integrated framework required to strengthen the CBG ecosystem, while HPCL is translating this opportunity into projects on the ground.”

“Our CBG plants will help convert agricultural residues and organic waste into clean energy and organic manure, creating value across the rural and energy ecosystem. At the same time, our work across advanced biofuels, including Sustainable Aviation Fuel, reflects our commitment to developing indigenous and scalable solutions for India’s evolving energy needs,” said Dhawan.

For CBG production, HPRGE is deploying HP RAMP, a proprietary technology developed by HPCL Green R&D Centre (HPGRDC). It processes lignocellulosic biomass such as rice straw, bagasse, Napier grass and garden waste. HPGRDC has operated a pilot plant using rice straw and other biomass continuously for over two years.

In the aviation sector, HPGRDC has developed HP-TriJet, a hydroprocessing technology that converts waste lipids, including used cooking oil and animal fats, into SAF and green diesel. HPCL has also demonstrated the feasibility of co-processing up to 5% used cooking oil with conventional vacuum gas oil in its Visakh Refinery hydrocracker without major configuration changes.

Following demonstration and certification, HPCL is working towards continuous SAF production to support proposed blending requirements from 2027. Together, these initiatives expand waste-to-fuel pathways for road transport and aviation.