Suzuki, Banas Dairy to invest Rs 250 crore in twin biogas projects

In a key development Suzuki Motor Corporation and Banas Dairy are collaborating to establish four biogas plants in Gujarat with an investment of more than Rs 250 crore. The initiative aims to produce automobile fuel by refining methane from biogas generated by fermenting cow dung.

The project will also yield liquid fertilizer as a by-product, which will be utilized in agriculture, mentioned Shankar Chaudhary, Chairman of Banas Dairy.

The investment will take place through a formal agreement between Maruti Suzuki and Banas Dairy.

The biogas production plants, with a total capacity of 5,00,000 litres, will begin operations in Banaskantha district by 2025. Each plant will feature a biogas-filling station to supply fuel for CNG vehicles, a market where Maruti Suzuki holds over a 70% share in India.

Toshihiro Suzuki, president of Suzuki Motors has a visit at Banaskantha to tour the biogas plant, the cheese plant at Palanpur dairy and the potato processing plant in Sanadar. The automaker is committed to advancing carbon neutrality by actively participating in the biogas production business.

In December 2022, Suzuki signed an MoU with the National Dairy Development Board (NDDB) and Banas Dairy to launch a Biogas Demonstration Project. The Suzuki Research and Development in India (SRDI), NDDB, and Banas Dairy is also expected to enter an agreement for technical research in biogas technology, with plans to design a more efficient plant to be set up in Tharad.

As per Banas Dairy Chairman, the upcoming biogas projects underscore Suzuki, NDDB, and Banas Dairy’s commitment to reducing greenhouse gas emissions and achieving carbon neutrality through innovative biogas production initiatives.