Reliance Plans ₹1 Lakh Crore Investment in Andhra Pradesh for Biogas Plants, Targeting 3 Lakh Jobs and ₹60,000 Crore Revenue
Reliance Biogas Investment Plans ₹1 Lakh Crore Investment in Andhra Pradesh to establish compressed biogas (CBG) plants, with Reliance Industries Executive Director Anant M. Ambani saying the projects could create more than 3 lakh jobs and generate nearly ₹60,000 crore in revenue for the state over the coming decades.
The announcement was made on October 2, 2026, at Madanapalle in Andhra Pradesh during the foundation stone-laying ceremony for the Rayalaseema Global Horticulture Hub and the Indian School of Agriculture.
The proposed investment connects Reliance’s expanding bioenergy business with Andhra Pradesh’s agricultural economy. The company’s plan is centred on CBG, a renewable fuel produced from organic material such as agricultural residue, cattle dung and other biomass.
The announcement also builds on Reliance’s existing CBG activity in Andhra Pradesh. In April 2025, the company had announced plans for 500 CBG projects in the state with a total investment of ₹65,000 crore, beginning with a ₹139 crore plant at Kanigiri in Prakasam district.
Reliance Plans ₹1 Lakh Crore Investment in Andhra Pradesh for CBG Plants
Reliance Plans ₹1 Lakh Crore Investment in Andhra Pradesh as part of its expanding clean-energy and bioenergy strategy.
Anant Ambani said Reliance Industries had received an opportunity from the Andhra Pradesh government to invest ₹1 lakh crore in the state for setting up CBG plants. He said the projects are expected to create more than 3 lakh jobs and bring nearly ₹60,000 crore in revenue to Andhra Pradesh over the next several decades.
The announcement was made at an event attended by Andhra Pradesh Chief Minister N. Chandrababu Naidu, Deputy Chief Minister Pawan Kalyan, Union Finance Minister Nirmala Sitharaman and other state and central government representatives.
The investment is being positioned around the connection between agriculture and energy, with Reliance seeking to create opportunities for farmers through its bioenergy operations.
What Reliance’s CBG Investment Means for Andhra Pradesh
The proposed CBG investment is intended to connect agricultural resources with renewable fuel production.
CBG is produced by processing organic materials through anaerobic digestion. Reliance says the feedstock can include agricultural residue, cattle dung, sugarcane press mud and the organic fraction of municipal solid waste. The resulting biogas is purified to remove impurities and produce compressed biogas.
Reliance says its CBG has methane content of more than 96% by volume and has properties and calorific value similar to compressed natural gas, allowing it to be integrated into existing infrastructure.
For Andhra Pradesh, the proposed investment links this technology with the state’s large agricultural base and rural economy.
More Than 3 Lakh Jobs Expected From the CBG Projects
One of the major figures associated with the announcement is the employment potential.
Anant Ambani said the proposed CBG plants would create over 3 lakh jobs. He also projected nearly ₹60,000 crore in revenue for the state over the coming decades.
These are projections associated with the planned projects rather than jobs or revenue already generated.
The long-term employment impact could involve different parts of the CBG value chain, including agricultural feedstock, plant operations and related rural economic activity. However, the announcement does not provide a detailed breakdown of the projected 3 lakh jobs by category.
The same applies to the ₹60,000 crore revenue figure: it is a long-term projection for the state and not current annual revenue.
Reliance Wants Farmers to Become “Urja Daatas”
Reliance’s bioenergy strategy has been built around the idea of connecting farmers with the energy economy.
Anant Ambani described farmers as “Anna Daatas”, or food producers, and said they could also become “Urja Daatas”, or energy producers, through the company’s green-energy initiatives.
The concept is linked to the use of agricultural resources for energy production.
Reliance’s earlier Andhra Pradesh CBG plan also involved using Napier grass grown on barren and waste land as feedstock. The company said farmers involved in the project could receive lease revenues and a fixed price for the grass they grow.
This model is designed to create an additional economic use for agricultural and wasteland resources while supplying feedstock for CBG production.
Reliance Already Has a CBG Project Pipeline in Andhra Pradesh
The latest announcement follows an earlier Reliance commitment to build a large CBG network in Andhra Pradesh.
In April 2025, Reliance announced the foundation stone for its first CBG project at Kanigiri in Prakasam district.
That project had a capital investment of ₹139 crore and was described as the first of 500 projects planned in the state, with a combined investment of ₹65,000 crore.
Reliance said the broader programme would use around 5 lakh acres of barren and waste land across Prakasam, Anantapur, Chittoor and Kadapa.
At full operation, the company said the plants were expected to produce 40 lakh tonnes of CBG and 1.1 million metric tonnes of organic fertiliser annually, while creating around 2.5 lakh jobs for rural youth.
The new ₹1 lakh crore announcement is therefore part of a broader and continuing Reliance push into CBG in Andhra Pradesh.
Reliance Is Scaling Its Bioenergy Business Across India
The Andhra Pradesh investment is also connected to Reliance’s larger national bioenergy strategy.
Reliance’s latest annual report says the company had 55 CBG plants under development, with an annual capacity of approximately 0.4 million tonnes, and a target of expanding to more than 500 CBG plants by 2030.
The company’s FY2025-26 reporting also states that Reliance had 35 operating CBG plants, with capacity of about 700 tonnes per day, and was targeting 55 operating plants and 1,100 tonnes per day by the end of FY2026-27.
Reliance says it is developing integrated CBG hubs that combine bioenergy production with other clean-energy technologies.
The company has also established a Bioenergy Technology and R&D Centre at Jamnagar, where it is developing enzymes, microbial consortia and energy crops intended to improve biogas productivity.
CBG Is Part of Reliance’s New Energy Strategy
Reliance has been expanding beyond its traditional energy businesses into renewable and low-carbon technologies.
Its New Energy strategy includes:
- Solar energy
- Battery storage
- Green hydrogen
- Compressed biogas
- Bioenergy
- Carbon-related technologies
The company has set a Net Carbon Zero target for 2035 and has described CBG as one component of its broader clean-energy transition.
Reliance’s 2026 annual-report material says its CBG business is focused on converting agricultural residue, energy crops and industrial waste into clean fuel.
The company also says it has engaged more than 80,000 farmers and supported more than 10,000 jobs through its bioenergy activities.
CBG Can Turn Agricultural Waste Into Renewable Fuel
Compressed biogas provides a way to convert organic material into usable energy.
The process begins with biomass and other organic waste. Through anaerobic digestion, the material produces biogas containing methane and carbon dioxide.
The biogas is then purified, removing impurities including hydrogen sulphide, before being compressed for use as CBG.
Reliance says CBG can be used as a renewable alternative to fossil fuels and can be integrated into existing CNG infrastructure because of its similar properties and calorific value.
The company also highlights the potential of CBG to create markets for agricultural and organic waste while supporting rural employment.
Andhra Pradesh Is Combining Agriculture and Clean Energy
The CBG announcement came at an event focused primarily on agriculture and the development of the Rayalaseema region.
The Rayalaseema Global Horticulture Hub and Indian School of Agriculture received their foundation stones at Madanapalle on October 2.
The horticulture hub itself is a separate initiative with an estimated investment of about ₹1 lakh crore, according to All India Radio, and is planned across ten districts with a focus on crops including mango, banana, tomato and pomegranate.
This is important because the ₹1 lakh crore horticulture hub and Reliance’s ₹1 lakh crore CBG investment are separate announcements. The first relates to the broader horticulture development programme, while Anant Ambani’s ₹1 lakh crore announcement relates to Reliance’s proposed CBG plants.
The two initiatives were announced at the same Madanapalle event.
Indian School of Agriculture to Connect Technology With Farming
Reliance is also supporting the establishment of the Indian School of Agriculture associated with the Madanapalle initiative.
The Andhra Pradesh Economic Development Board said the school is intended to build capabilities in digital agriculture, artificial intelligence and smart irrigation, while supporting productivity, sustainability and export-oriented agriculture.
Anant Ambani said Reliance would support the institution through strategic investment, digital capabilities, technical expertise and industry partnerships.
The school and CBG projects represent two different areas of Reliance’s involvement in the event: one focused on agricultural education and technology, and the other on clean-energy infrastructure.
Reliance’s CBG Push Comes as India Expands Bioenergy
Reliance’s expansion comes as CBG becomes a larger part of India’s clean-energy strategy.
The company’s own reporting shows that it is scaling its CBG network nationally, while the Andhra Pradesh plan provides a major state-level investment opportunity.
CBG can use agricultural residue and other organic waste as feedstock, creating a connection between farming, waste management and energy production.
For a state with a significant agricultural economy, this creates the possibility of adding an energy-related value chain alongside existing agricultural activities.
The Scale of Reliance’s Andhra Pradesh Announcement
The numbers announced by Anant Ambani give an indication of the proposed scale:
| Parameter | Details |
|---|---|
| Proposed Reliance investment | ₹1 lakh crore |
| Sector | Compressed Biogas (CBG) |
| Projected jobs | More than 3 lakh |
| Projected state revenue | Nearly ₹60,000 crore |
| Revenue timeframe | Coming decades |
| Announcement date | October 2, 2026 |
| Announcement location | Madanapalle, Andhra Pradesh |
These figures are forward-looking projections announced by Reliance Executive Director Anant Ambani. They should not be interpreted as investment already deployed, jobs already created or revenue already generated.
What Comes Next for Reliance’s Andhra Pradesh CBG Plans
The immediate significance of the announcement is the scale of Reliance’s proposed investment.
The company already has CBG projects under development in Andhra Pradesh and has previously announced a 500-project programme with ₹65,000 crore of planned investment.
The latest announcement raises the stated investment ambition to ₹1 lakh crore, while projecting more than 3 lakh jobs and nearly ₹60,000 crore in state revenue over the coming decades.
The available announcement does not provide a complete project-by-project schedule for the ₹1 lakh crore programme, nor does it specify the exact number of plants that the new investment figure will cover.
What is clear is that Reliance is positioning Andhra Pradesh as an important part of its expanding CBG and bioenergy strategy.
Reliance Plans ₹1 Lakh Crore Investment in Andhra Pradesh for CBG Plants
Reliance Plans ₹1 Lakh Crore Investment in Andhra Pradesh to establish compressed biogas plants, with Anant Ambani projecting more than 3 lakh jobs and nearly ₹60,000 crore in state revenue over the coming decades.
The plan builds on Reliance’s existing CBG development in Andhra Pradesh, including its earlier ₹65,000 crore programme for 500 projects announced in 2025.
For Reliance, the investment forms part of its wider bioenergy strategy. For Andhra Pradesh, it links clean-energy development with agriculture, rural employment and the use of organic resources.
The proposed projects now place CBG among the major clean-energy investment areas being developed in the state.
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