Suzuki Motor Corporation on Wednesday said it has inked a pact with National Dairy Development Board (NDDB), and Gujarat-based Banas Dairy to set up four biogas plants in Gujarat with an investment of around INR 230 crore. The three-party agreement between Suzuki R&D Center India, a wholly- owned subsidiary of Suzuki, NDDB and Banas Dairy was inked in Tokyo on Wednesday. The project is aimed at making fuel for automobiles by refining methane from biogas, which is generated by fermenting cow dung, the Japanese carmaker said in a statement.
Four biogas production plants will be operated from 2025 in Banaskantha district of Gujarat, it added.
Total investment on the four plants is expected to be INR 230 crore, Suzuki said in a statement. Also, a biogas filling station will be established alongside each plant, which will distribute fuel for CNG vehicles in which Maruti Suzuki holds over 70 % market share in India, it added.
“Suzuki is tackling to reduce greenhouse gas in ways that suit the situations of each country and region. In India, there is expectation for biogas which is said to have high reduction effects,” Suzuki President T Suzuki said.
The automaker will contribute toward realising carbon neutrality through making proactive initiatives in the biogas production business, he added.
Suzuki signed an MoU with NDDB and Banas Dairy in December 2022 to start a Biogas Demonstration Project.
Title: Banas Dairy Signs Rs 230-Crore Deal with Suzuki Subsidiary and NDDB to Establish Biogas Plants
In a significant move towards environmental sustainability and agricultural innovation, Banas Dairy, one of the largest dairy producers in India, has entered into a groundbreaking partnership. The dairy has signed a three-party agreement worth Rs 230 crore with Suzuki R&D Centre India Private Limited, a subsidiary of Suzuki Motor Corporation, and the National Dairy Development Board (NDDB) to establish four animal dung-based biogas production plants in Banaskantha district, Gujarat.
The collaboration, which commenced in December of the previous year, marks a significant step in addressing the dual challenges of agricultural waste management and clean energy generation. Banas Dairy is renowned for its substantial milk production, boasting over 85 lakh liters of milk per day, making it the highest in Asia. The dairy giant recorded an impressive turnover of Rs 18,000 crore during the fiscal year 2022-23.
The initiative, set to be realized by 2025, underscores the critical role of biogas in transforming the dairy industry into a more sustainable and eco-friendly sector. These biogas production plants hold immense potential to revolutionize the way dairy farming impacts the environment and contributes to India’s energy landscape.
The primary objective of this ambitious project is to reduce pollution and safeguard the environment by efficiently managing animal waste. Simultaneously, it aims to harness green and clean energy through biogas generation. Each biogas plant will be complemented by biogas filling stations, facilitating the distribution of fuel for Compressed Natural Gas (CNG) vehicles. Furthermore, organic fertiliser production facilities will be established, promoting organic farming practices and providing farmers with additional income streams.
“The numbers of plants can be further increased as per mutual agreement of all parties. These plants will play a crucial role in reducing pollution and preserving our environment and also generate green and clean energy, with a total investment of approximately Rs 230 crore. Additionally, biogas filling stations will be set up alongside each plant to distribute fuel for CNG vehicles and organic fertiliser production facilities will be established to promote organic farming,” the statement explained.
This innovative project aligns with India’s broader sustainability goals, focusing on creating a cleaner and more eco-conscious nation. It also underscores the importance of supporting farmers by diversifying their income sources through the byproducts of their animal husbandry business. The cleaner energy produced by bio CNG can also be further utilized for the production of green hydrogen and liquid bio methane, contributing to the development of green energy sources.
Shankar Chaudhary, Chairman of Banas Dairy, emphasized the project’s alignment with Prime Minister Narendra Modi’s vision of a greener India. He stated, “This project is a testament to the vision of our Prime Minister Narendra Modi, who is guiding us to create a greener India and provide our farmers with additional income opportunities with net zero carbon neutrality and promoting a circular economy. These projects are an initial step to make Banaskantha district an organic district and energy self-reliant district.”
In conclusion, the collaboration between Banas Dairy, Suzuki R&D Centre India Private Limited, and the NDDB is poised to set new standards for sustainability and innovation in the Indian dairy industry. By addressing environmental concerns, promoting clean energy, and offering new income avenues for farmers, this initiative demonstrates a commitment to a greener, more prosperous future for both agriculture and the environment in India.