Desco Infratech commissions first compressed biogas plant in Uttar Pradesh

Desco Infratech's subsidiary Shri Green Agro Energies Private Limited commissioned phase 1 of a 5 TPD compressed biogas plant in Bulandshahr, Uttar Pradesh, on June 24-25, starting the site at an initial operating rate of 1 TPD.

Managing Director Pankaj Pruthu Desai said the commissioning reflected Desco's commitment to investors and marked a defining milestone for the company, which had already signaled in its May 2026 investor call that it would operationalize a CBG business. The project also extends Desco beyond infrastructure delivery and into operating renewable gas assets through a clean-energy strategy the company tied to its acquisition of Shri Green Agro Energies earlier in 2026.

The plant lands in a policy framework built around SATAT, which the Ministry of Petroleum and Natural Gas launched on October 1, 2018 to build an ecosystem for CBG production from waste and biomass. The government has backed the sector with central financial assistance under the National Bio Energy Programme, additional support for municipal solid waste-based CBG plants and market development assistance for oil and gas marketing companies that offtake the gas.

Uttar Pradesh has added its own incentive stack. The state’s Bio-energy Enterprises Promotion Programme 2022 offers support of up to Rs 75 lakh per tonne of capacity, capped at Rs 20 crore, as the government tries to pull more CBG, bio-diesel and bio-coal projects into the state. The state’s investment-promotion materials point to cattle dung, agricultural residues and urban wet waste as the feedstock base for CBG projects, which is the resource mix that underpins the sector’s economics in much of north India.

Desco's commissioning comes into a market that is still short of the government's stated ambition. The Press Information Bureau said 50 CBG projects had been commissioned as of November 1, 2023, with total production capacity of about 300 tonnes per day. A later government update said 113 plants were functional, while 667 were in development and 171 under construction. For a company better known for infrastructure work, Bulandshahr gives Desco an operating foothold in a segment where the next test is not policy language but steady plant uptime, feedstock supply and contracted gas sales.