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HPCL Begins Construction of Three CBG Plants, Advances SAF Projects

Hindustan Petroleum Corporation has commenced construction of three CBG plants across Andhra Pradesh, Uttar Pradesh and Punjab while advancing a 7.4 KTPA SAF unit at its Visakh Refinery to expand domestic biofuel production.

October 27, 2026. By Mrinmoy Dey

Hindustan Petroleum Corporation (HPCL) has announced that the company, through its wholly-owned subsidiary HPCL Renewable and Green Energy (HPRGE), has commenced construction of three greenfield compressed biogas (CBG) plants in Eluru, Andhra Pradesh; Bareilly, Uttar Pradesh; and Ludhiana, Punjab. The company is also advancing its sustainable aviation fuel (SAF) initiatives, including a 7.4 KTPA commercial SAF unit being established at HPCL’s Visakh Refinery.
 
The three CBG plants are aimed at converting agricultural residues and organic waste into transportation fuel and organic manure, supporting the development of a domestic biofuel value chain. The projects are being developed as the Government of India promotes the CBG sector through the GOBARdhan (National Unified Scheme for Compressed Biogas) framework, which covers assured CBG offtake, administered pricing, capital assistance, pipeline connectivity, credit guarantee support and ecosystem development.
 
Commenting on the development, Mohit Dhawan, CEO, HPCL Renewable and Green Energy, said, “India’s biofuel transition is entering an important phase where policy, technology and on-ground infrastructure are coming together. The GOBARdhan scheme provides the integrated framework required to strengthen the CBG ecosystem, while HPCL is translating this opportunity into projects on the ground.”
 
He further added, “Our CBG plants will help convert agricultural residues and organic waste into clean energy and organic manure, creating value across the rural and energy ecosystem. At the same time, our work across advanced biofuels, including Sustainable Aviation Fuel, reflects our commitment to developing indigenous and scalable solutions for India’s evolving energy needs.”
 
For its CBG programme, HPRGE is leveraging HP RAMP, HPCL’s proprietary technology developed by the HPCL Green R&D Centre (HPGRDC). The technology is designed to process lignocellulosic biomass, including rice straw, bagasse, Napier grass and garden waste. HPGRDC has also operated a pilot CBG plant using rice straw and other lignocellulosic biomass continuously for more than two years to build operational experience for commercial deployment.
 
Alongside CBG, HPCL is developing technologies to produce aviation fuel from waste-based feedstocks. Through HPGRDC, the company has developed HP-TriJet, a proprietary hydroprocessing platform designed to produce SAF and green diesel from waste lipid streams, including used cooking oil and animal fats. The technology incorporates in-house catalyst systems and process conditions and has been validated through pilot-scale studies.
 
A 7.4 KTPA commercial SAF unit is currently being established at HPCL’s Visakh Refinery to support domestic production using the technology.
 
HPCL has also demonstrated the technical feasibility of producing SAF by co-processing used cooking oil in the vacuum gas oil (VGO) hydrocracker at the Visakh Refinery. Pilot studies established the feasibility of co-processing up to 5 percent used cooking oil with conventional VGO feed without major modifications to the refinery configuration.
 
Following the demonstration and certification process, HPCL is progressing towards continuous SAF production through the hydrocracker to support proposed SAF blending requirements from 2027.
 
The initiatives cover two pathways for converting waste into fuel: agricultural residues and organic waste for CBG production, and waste oils and other lipid feedstocks for SAF. Through these projects, HPCL is expanding its biofuel activities across road transport and aviation while developing technologies to utilise domestic biomass and waste resources, the company stated.
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