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SATAT Scheme 2026; Benefits, Eligibility & How to Apply

The SATAT Scheme (Sustainable Alternative Towards Affordable Transportation) is a Government of India undertaking launched in October 2018 by the Ministry of Petroleum and Natural Gas, aimed at promoting clean and affordable fuels for the transportation sector. The primary objective of the SATAT scheme is to produce and promote 'Compressed Biogas' (CBG) generated by converting organic waste such as agricultural residues, cattle dung, and municipal solid waste into energy so that it may serve as an alternative fuel. Under this initiative, entrepreneurs are encouraged to establish CBG production plants and are incentivized to supply the produced gas to oil marketing companies for use as fuel in vehicles and industrial applications. This initiative places particular emphasis on reducing pollution, ensuring effective waste management, and diminishing India's reliance on fossil fuels.

SATAT Scheme

SATAT Scheme 2026 Overview

Scheme Name: Sustainable Alternative Towards Affordable Transportation
Launch (2018): Government started the SATAT Scheme to promote clean fuel
Waste Collection: Organic waste like crop residue, dung, and municipal waste is collected
CBG Production: Waste is processed in plants to produce Compressed Bio-Gas (CBG)
Supply to Companies: CBG is sold to oil companies (like IOCL, BPCL, HPCL)
Use as Fuel: CBG is used as a clean alternative to petrol/diesel/CNG in vehicles
By-product Use: Residue is used as bio-manure for farming
Final Goal: Clean environment, waste management, and affordable transportation

SATAT Scheme 2026 Key Objectives

  • Promote production of Compressed Bio-Gas (CBG)
  • Provide clean and affordable fuel for vehicles
  • Reduce crude oil imports and enhance energy security
  • Improve waste management (agriculture + municipal waste)
  • Generate income for farmers and create rural employment

SATAT Scheme 2026 Benefits

Reduces air pollution and greenhouse gas emissions
Transforms waste into resources
Boosts the rural economy and employment
Provides a cost-effective alternative fuel to CNG
Supports sustainable development and the 'Swachh Bharat' campaign

SATAT Scheme 2026 Key Features

The SATAT Scheme emphasizes the promotion of the production and utilization of Compressed Biogas (CBG) as a clean and sustainable fuel. Under this scheme, private entrepreneurs are encouraged to establish CBG production centers or plants utilizing organic waste materials such as agricultural residues, cattle dung, and municipal solid waste. The gas produced is procured by Oil Marketing Companies including Indian Oil Corporation, Bharat Petroleum Corporation Limited, and Hindustan Petroleum Corporation Limited which subsequently supply it for distribution and consumption within the transport and industrial sectors. A key feature of this initiative is the production of 'organic manure' as a valuable byproduct, which plays a supportive role in the agricultural sector.

SATAT Scheme 2026 How to Apply

Interested entrepreneurs or organizations must first submit an 'Expression of Interest' (EoI) to oil marketing companies such as Indian Oil Corporation, Bharat Petroleum Corporation Limited, or Hindustan Petroleum Corporation Limited through their official SATAT portals or websites. Upon submission of the application, the proposal is evaluated based on an assessment of its technical and financial feasibility. Once the proposal is approved, the applicant signs a long-term agreement with the respective company for the supply of 'Compressed Bio-Gas' (CBG). Subsequently, the entrepreneur may proceed to set up the CBG plant.

SATAT Scheme 2026 - Frequently Asked Questions (FAQ)

1. What is the SATAT Scheme?

Answer: It is a government initiative to produce Compressed Bio-Gas (CBG) from organic waste for use as clean fuel.

2. When was the SATAT Scheme launched?

Answer: It was launched in October 2018 by the Government of India.

3. What type of waste is used in this scheme?

Answer: Organic waste such as agricultural residue, cattle dung, municipal solid waste, and sewage is used.

4. Who is eligible to apply?

Answer: Entrepreneurs, companies, cooperatives, and individuals can apply.

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