Ranchi: The city civic body on Thursday signed a memorandum of understanding with Gas Authority of India Limited (GAIL) for producing compressed biogas using organic municipal waste generated in Ranchi at a formal ceremony in presence of chief minister Hemant Soren.
Secretary of state urban development department Vinay Kumar Choubey said the PSU will set up two plants in the city having a total capacity of 300 tonne of waste handling. He said that in the first phase, it will set up one plant of 150 tonne capacity in Jhiri on an eight-acre land, where Ranchi Municipal Corporation (RMC) dumps waste collected on a daily basis.
“The first phase of the plant will come up in two years,” informed an official release from the state government, adding that RMC will provide the land to GAIL free of cost. GAIL will invest Rs 28.16 crore for the project.
The gas manufactured by the PSU will be sold by them and give 10% of the earning after selling the gas to RMC. “RMC will save Rs 81 crore annually through this arrangement which will also lead to effective disposal of municipal waste,” read the statement.