Back
Nimesh Pinnamaneni
•
Helixworks Technologies • 1d
How do you turn garbage into gold? 🔑 The Math on Biogas & What it Takes to Build a Profitable CBG Plant in India—here’s the financial breakdown for entrepreneurs looking to enter the space. 📈 Revenue Streams: Where’s the Money? ———————————————————————— 1️⃣ CBG Sales: The main revenue source. SATAT-backed OMC contracts provide price stability at ₹46-60/kg. 2️⃣ Tipping Fees: Large plants get ₹500-1000/ton from municipalities to process waste (major revenue boost). 3️⃣ Organic Fertiliser Sales: Digestate converted to compost, adding ₹500-2000/ton in revenue. 4️⃣ Carbon Credits: Future potential—CBG reduces methane emissions, making plants eligible for carbon credit revenue. 💰 Financial Projections & Breakeven Analysis ———————————————————————— 🔺Small (5 Tons Per Day): - CAPEX: ₹5-6 Cr - OPEX: ₹0.3-0.4 Cr per year - Revenue: ₹0.45 Cr per year (@₹50/kg) - Payback Period: Over 10 years (not viable without subsidies) 🔺🔺Medium (50 TPD): - CAPEX: ₹20-30 Cr - OPEX: ₹2.5 Cr per year - Revenue: ₹5.0 Cr per year (@₹50/kg) - Payback Period: 6-7 years (moderate viability) 🔺🔺🔺Large (500 TPD): - CAPEX: ₹120-150 Cr - OPEX: ₹25 Cr per year - Revenue: ₹54.75 Cr per year (excluding tipping fees) - Payback Period: 4-5 years (strong IRR >20%) 💡 Key Takeaways ———————————————————————— ✅ Small plants struggle unless they get subsidies or tap into premium/niche markets. ✅ Mid-sized (50 TPD) plants can work but need tipping fees or subsidies for strong ROI. ✅ Large-scale (500 TPD) plants dominate with faster payback, better margins, and diversified revenue. ———————————————————————— 🔗 Want the 10,000 word deep dive into tech, government policies, and full economic analysis? Check out “The CBG Playbook: What It Takes to Build a Profitable Biogas Plant in India”, here: https://originalgenome.notion.site ———————————————————————— Would you start or invest in a CBG plant? Or do you see another energy play? 👇
More like this
Recommendations from Medial
Download the medial app to read full posts, comements and news.