Cabinet Clears Rs 23,731-Crore GOBARdhan Scheme, Rs 8,970-Crore Assam Corridor
On 6 August 2026, the Union Cabinet approved two projects with a combined outlay of ₹32,701 crore. The package included the GOBARdhan National Circular Bioenergy Scheme and a four-lane access-controlled highway project in Assam.
GOBARdhan National Circular Bioenergy Scheme
The GOBARdhan scheme has an allocation of ₹23,731 crore and a ten-year implementation period from 2026–27 to 2035–36. The scheme is administered by the Ministry of Petroleum and Natural Gas and focuses on domestic compressed biogas production.
The scheme name expands to Galvanising Organic Bio-Agro Resources Dhan. It is linked to the use of cattle dung, agricultural residue, and other organic waste for bioenergy production.
Key Features of the Bioenergy Scheme
The scheme framework includes a fixed compressed biogas procurement price of ₹2,110 per MMBTU. It also provides capital assistance of up to ₹2 crore per tonne-per-day capacity.
The Cabinet approved an 85% credit guarantee for eligible MSME loans under the scheme. Official projections place the expected rise in domestic compressed biogas production at nearly ten times the present level.
The scheme is projected to generate more than 1.5 lakh jobs. It is also projected to save over ₹40,000 crore in foreign exchange by reducing dependence on imported liquefied natural gas.
Assam Highway Project
The Cabinet sanctioned ₹8,970.20 crore for a 135.87 km, four-lane access-controlled highway on National Highway-15 in Assam. The corridor will connect Baihata Chariali near Guwahati with Tezpur.
The project includes five bypasses, 15 major bridges, and an elephant underpass. It also includes a 4.9 km emergency landing facility on the Tezpur Bypass, planned in coordination with the Indian Air Force.
Important Facts for Exams
- Compressed biogas is a purified form of biogas and is used as a transport and industrial fuel.
- National Highway-15 is a major highway corridor in north-eastern India.
- An emergency landing facility is a straight stretch of highway designed for aircraft landing during emergencies.
- MSME stands for Micro, Small and Medium Enterprises.
Exam-Relevant Static Points
Assam is a north-eastern state of India and shares connectivity links with Arunachal Pradesh. The Ministry of Petroleum and Natural Gas handles policy matters related to petroleum, natural gas, and biofuels in India.