Reliance Begins Work on First of 500 CBG Plants in Andhra Pradesh

Reliance Industries has launched construction on its first Compressed Biogas (CBG) plant in Andhra Pradesh. The company plans to invest ₹65,000 crore to set up 500 such plants across the state. The first plant, located in Kanigiri, Prakasam district, will be built with a capital investment of ₹139 crore.

As of 10:48 AM on April 3, Reliance Industries share price was trading at ₹1247.25, a 0.31% down for the day. Over the past month, the stock has gained 6.89%, while it has declined 11.02% over the last six months.

Prakasam District

The foundation stone for the first plant was laid by Andhra Pradesh IT & Electronics Minister Nara Lokesh. This plant is the beginning of a larger state-wide initiative focused on setting up integrated CBG hubs. The event was attended by senior Reliance officials and government representatives including Energy Minister Gottipati Ravi Kumar, Chief Secretary Vijayanand, and others.

Use of Napier Grass and Waste Land

Each plant will utilise Napier grass as the raw material, grown on barren and unused land. Approximately 5 lakh acres of such land across districts like Prakasam, Anantapur, Chittoor, and Kadapa will be used for cultivating the grass.

Production and By-products

Once all 500 plants are operational, they are expected to produce:

• 40 lakh tonnes of Compressed Biogas annually
• 1.1 million metric tonnes of organic fertiliser
• 1 crore tonnes of fermented organic manure

The by-products will be used as an alternative to chemical fertilisers, supporting sustainable agriculture.

Employment and Land Development 

The initiative is to create around 2.5 lakh jobs. In addition, 15 lakh acres of barren land will be transformed into cultivable farmland. Farmers involved in the project will receive lease revenue and fixed payments for cultivating Napier grass.

Reliance Industries Limited reported ₹10,00,122 crore in consolidated revenue for the financial year ending March 31, 2024. The company operates across energy, materials, digital services, and retail sectors.

Conclusion

This project is the first step in a large-scale bioenergy initiative by Reliance in Andhra Pradesh, with plans for further development in the coming years.

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