Amit Shah Inaugurates India’s First Cooperative Multi-Feed Biogas Plant in Ahilyanagar

In a landmark event for India’s renewable energy and cooperative sectors, Union Home Minister and Minister of Cooperation, Shri Amit Shah, inaugurated the country’s first cooperative multi-feed Compressed Biogas (CBG) plant at the Maharshi Shankarrao Kolhe Sahakari Sakhar Karkhana in Kopargaon, Ahilyanagar district, Maharashtra.

The inauguration marks a major step toward the realization of Prime Minister Narendra Modi’s vision of a circular economy and an Atmanirbhar Bharat (self-reliant India), where cooperatives play a central role in sustainable rural development and green energy production.

The event was attended by Maharashtra Chief Minister Devendra Fadnavis, Deputy Chief Ministers Eknath Shinde and Ajit Pawar, Union Minister of State for Cooperation Murlidhar Mohol, and several senior dignitaries.

Earlier in the day, Shri Shah paid homage at the Shirdi Sai Dham, offering prayers for the welfare and prosperity of all Indians.

India’s First Cooperative Multi-Feed CBG Plant: A Green Milestone

The newly inaugurated plant, developed at a cost of ₹55 crore, is India’s first cooperative-based, multi-feed Compressed Biogas (CBG) facility, capable of producing 12 tonnes of CBG per day and 75 tonnes of potash granules from jaggery and molasses byproducts.

Shri Shah emphasized that both these products—biogas and potash—are currently imported into India, and this initiative would enable domestic production, helping to reduce import dependence and save valuable foreign exchange.

“This project sets the stage for a new era of self-reliance in energy and agriculture. It embodies the principles of a circular economy—turning waste into wealth while strengthening rural industries,” Shah stated.

The CBG plant is designed as a multi-feed unit, meaning it can process multiple raw materials such as sugarcane press mud, molasses, maize residue, and agricultural waste, to produce renewable energy. The biogas generated will be purified and compressed for industrial and vehicular use, while byproducts like potash and organic manure will enhance soil fertility.

Modi Government’s Support for Green Cooperatives

Announcing a new initiative, Shri Shah said that Prime Minister Modi’s government will support 15 cooperative sugar mills across the country in setting up CBG and potash plants, with financial and technical assistance from the National Cooperative Development Corporation (NCDC).

“This beginning at Kopargaon will show the way forward for sugar mills across India. Soon, dozens of cooperative sugar mills will adopt this model, contributing to rural prosperity and green growth,” he said.

He also encouraged other cooperative sugar mills to adopt a 100% circular economy model, converting byproducts into value-added goods such as ethanol, biogas, potash, fertilizers, and processed food products.

Linking Cooperative Growth with Farmers’ Welfare

Highlighting the government’s strong commitment to farmers, Shri Shah referenced the Union Cabinet’s approval of the “Mission for Aatmanirbharta in Pulses”, launched by Prime Minister Modi on October 1, 2025.

Under this mission, ₹11,340 crore will be invested over six years to make India self-reliant in pulse production. The scheme will ensure that farmers cultivating arhar (tur), urad, and masoor pulses can sell their produce at 100% Minimum Support Price (MSP) through procurement agencies like NAFED and NCCF.

The initiative will benefit 20 million farmers, establish 1,000 pulse processing units, and distribute 38 lakh high-quality seed kits nationwide.

“This will ensure that not a single pulse farmer faces distress sales. It is a mission for the dignity and prosperity of India’s farmers,” Shri Shah affirmed.

Major Boost in MSP and GST Reforms for Agriculture

The Home Minister also highlighted recent increases in the MSP for major crops, including ₹300 per quintal for masoor, ₹250 for mustard, ₹225 for gram, ₹175 for barley, and ₹160 for wheat.

He noted that since 2014, the Modi government has doubled or tripled MSP rates for various crops — with jowar, bajra, tur, moong, soybean, and cotton witnessing increases between 100% to 250%.

Additionally, Shri Shah detailed the recent GST reforms, which have slashed taxes on several key items used by farmers:

• Tractors, tractor parts, and harvesters

• Sprinklers, drip irrigation systems, and threshers

• Machinery for poultry and beekeeping

• Organic pesticides and natural menthol

All these items will now attract only 5% GST, significantly reducing costs for farmers and rural enterprises.

Circular Economy and Cooperative Sugar Industry Transformation

Shri Shah praised the Maharshi Shankarrao Kolhe Sahakari Sakhar Karkhana as an exemplary model of industrial innovation, sustainability, and cooperative efficiency.

The factory has implemented a fully circular economic model, where byproducts from sugar production are reused to generate biofuel, electricity, and fertilizers. The facility also includes an ethanol production unit, a biogas plant, and a cogeneration power station—ensuring zero waste and maximum resource utilization.

“This initiative is a shining example of how cooperative sugar factories can transform themselves into energy hubs and sustainable enterprises,” Shah said.

He urged all sugar mills in Maharashtra to replicate this model, assuring full support from the Central and State Governments, as well as the NCDC.

Sanjeevani Group: Empowering Rural Maharashtra

Shri Shah also commended the Sanjeevani Group, which manages the cooperative, for its contributions to green energy, education, and women’s empowerment. The group has:

• Integrated 100 Primary Agricultural Credit Societies (PACS) into its network,

• Initiated fisheries projects for 1,000 farmers,

• Established the Sanjeevani University serving 20,000 students, and

• Launched India’s first rural call center, creating new job opportunities.

He acknowledged these efforts as part of the cooperative sector’s evolving role in rural innovation and social welfare.

Strengthening the Cooperative Sector Nationwide

Reflecting on the broader cooperative movement, Shri Shah stated that the creation of the Ministry of Cooperation in 2021 by Prime Minister Modi gave a new lease of life to India’s rural economy.

“The doubts that once clouded the cooperative sector’s future have now been dispelled. In just three years, the sector has emerged as one of the strongest pillars of India’s economic foundation,” he said.

He added that under Modi’s leadership, India’s economy has climbed from 11th to 4th place globally, and the goal of becoming the third-largest economy is within reach. However, he stressed that this progress must be driven by swadeshi (indigenous) production and consumption.

“If 140 crore Indians decide not to use or trade in foreign-made goods, our economy will surpass all others before 2047,” he urged.

Environmental Commitment and Climate Action

Reinforcing the government’s commitment to sustainability, Shri Shah invoked Prime Minister Modi’s recent appeal for citizens to plant one tree in the name of their mother and one in the name of Mother Earth.

“This simple act will have a profound impact on mitigating climate change and global warming. It’s time for every Indian to contribute to protecting our planet,” Shah said.

 A Cooperative Model for a Sustainable Future

The inauguration of India’s first cooperative multi-feed CBG plant marks a historic convergence of rural innovation, energy security, and cooperative strength. It reflects a broader shift in India’s development model—one that prioritizes farmers, environment, and local enterprise as the engines of national growth.

Under Prime Minister Narendra Modi and Minister Amit Shah’s leadership, India’s cooperative sector is moving beyond agriculture—embracing green energy, sustainable manufacturing, and rural entrepreneurship—making it a cornerstone of Atmanirbhar Bharat and the nation’s climate-smart future.