CNG Set to Get Cheaper as Finance Minister Removes Excise Duty on Biogas

• Union Finance Minister Nirmala Sitharaman announced the removal of excise duty on biogas blended CNG in the Budget 2026-27.
• The move will exclude the value of biogas from central excise duty calculations, potentially making bio-mix CNG cheaper.
• Experts estimate a price reduction of up to 2-3 rupees per kg for CNG, benefiting CNG vehicle owners and the auto industry.
• Farmers will gain additional income from biogas plants using farm waste, reducing stubble burning and air pollution.
• This initiative promotes clean energy, reduces oil import dependence, and accelerates green energy transition towards Sustainable Development Goals.

Why It Matters: Excise duty removal on biogas in CNG will make fuel cheaper, benefit farmers, and boost green energy adoption.