
The SATAT (Sustainable Alternative Towards Affordable Transportation) scheme, introduced by the Indian government in 2018, is all about boosting the production and use of Compressed Bio Gas (CBG) as a greener fuel option. It encourages entrepreneurs to establish CBG plants, helping to cut down on our dependence on fossil fuels.
Goals and Objectives:
- Reduce dependence on crude oil imports: By encouraging CBG as an indigenous alternative fuel, the scheme seeks to reduce the nation’s dependence on imported fossil fuels.
- Improve farmers’ income and rural employment: The scheme supports the utilization of agricultural residue and other biomass waste, generating revenue for farmers and rural employment opportunities.
- Promote efficient waste management: The scheme seeks to manage and dispose of municipal solid waste and residues of agriculture effectively through the process of converting these into CBG.
- Tackle urban air pollution: By promoting CBG as a cleaner fuel, the scheme aims to reduce air pollution, especially from burning biomass and carbon emissions.
- Support India’s commitments to reduce carbon emissions: The scheme seeks to support India’s global obligations of curbing carbon emissions as well as mitigate climate change.
How it Works:
- The scheme invites entrepreneurs to establish CBG production plants through expressions of interest (EOI) by interested investors.
- Public Sector Undertaking (PSU) Oil Marketing Companies (OMCs) such as Indian Oil Corporation Ltd., Bharat Petroleum Corporation Ltd., and Hindustan Petroleum Corporation Ltd. participate in the scheme.
- CBG produced under the scheme can be used as an alternative fuel for automotive, industrial, and commercial purposes.
- CBG is produced from various biomass sources, including agricultural residues, cattle dung, and municipal solid waste.
- CBG plants are included under priority sector lending by the Reserve Bank of India to facilitate financing for entrepreneurs.
Key Benefits:
- It helps to lower carbon emissions, improve air quality, and support sustainable waste management.
- This also creates new business opportunities, generates income for farmers, and reduces our dependence on imported fossil fuels.
- Furthermore, it boosts rural employment and entrepreneurship, contributing to a cleaner and healthier environment overall.