The Maharashtra state cabinet on Tuesday approved the allotment of land in Deonar to Mahanagar Gas Limited (MGL) at a concessional rate for setting up a biomethanation project.
Under the central government’s GOBARdhan scheme, the goal is to set up 500 new biogas plants across urban areas, including 75 biomethanation projects. The cost of setting up these plants will be borne by oil and gas marketing companies. However, the central government has instructed state governments to provide land and basic infrastructure at nominal rates for these projects.
Following this directive, MGL has been allotted 18 acres of land in Deonar on a 25-year lease. The plant will use biomethanation technology to produce compressed biogas (CBG) with a capacity of 500 tonnes per day. An annual lease fee of ₹72,843 will be charged for the land. A Memorandum of Understanding (MoU) will soon be signed between the Brihanmumbai Municipal Corporation (BMC) and Mahanagar Gas Limited for this initiative.
