Boosting Biogas: India's Budget 2025 and the Path to Clean Energy

The Indian Biogas Association applauds the proposed increase in MSME financing in the 2025 Budget, seeing it as a pivotal move for the biogas industry. With enhanced credit guarantees and revised MSME classifications, the industry is poised for growth. However, more policies specifically targeting CBG are recommended.

The Indian Biogas Association (IBA) has welcomed the proposed increase in MSME financing outlined in the General Budget 2025. This move is seen as a significant boost for the biogas industry, according to an announcement from IBA on Sunday.

The Budget emphasizes manufacturing, green energy, and digital transformation as part of the vision for Aatmanirbhar and Viksit Bharat. The hike in MSME Credit Guarantee Scheme offers enhanced credit access, allowing the biogas industry easier access to loans.

While the Budget addresses the credit challenges faced by CBG developers, IBA recommends further policy measures. These include frameworks for carbon credit sales and expanded incentives for larger capacity projects, emphasizing the potential for long-term benefits despite short-term losses.