Maruti Suzuki India Limited on 5 June 2025 announced two biogas projects with a combined investment of ₹150 crore, marking one of the country's largest carmaker's most significant clean energy commitments to date. The announcement, made on World Environment Day, covers a new plant at its Kharkhoda facility in Haryana and an expanded unit at its existing Manesar plant.

Key Developments

The new biogas plant at Kharkhoda will have a capacity of 10 tonnes per day (TPD) and is expected to be commissioned within the current financial year. At full capacity, the plant is projected to mitigate approximately 9,490 tonnes of CO2 emissions annually and meet nearly 20% of the facility's total gas requirement.

Simultaneously, Maruti Suzuki has expanded the capacity of its existing biogas plant at Manesar from 0.2 TPD to 0.7 TPD. The expanded unit is projected to generate around 3.6 lakh standard cubic metres of biogas per year, helping avoid approximately 664 tonnes of CO2 emissions annually.

How the Plants Work

The Manesar facility uses anaerobic digestion technology to convert organic feedstock — including food waste, Napier grass, and paddy straw — into usable biogas. The output is channelled into paint shop heating processes and canteen operations. Output can be further scaled through the use of cattle dung as additional feedstock.

This approach aligns with the government's 'Waste-to-Wealth' mission, which encourages the conversion of agricultural and organic waste into productive energy resources.

What the Company Said

Managing Director and CEO Hisashi Takeuchi said the company has been consistently pursuing measures to reduce fossil fuel consumption and reliance on imported oil. 'At a time when the world is navigating an increasingly uncertain energy landscape, such initiatives assume greater significance,' he said.

Takeuchi also linked the initiative to national priorities, stating: 'As the Prime Minister of India has called for reducing dependence on fossil fuels, the commissioning of our biogas project comes at an appropriate time. It enables us to contribute, in a modest but meaningful way, to the current national priority alongside several other ongoing efforts.'

Why This Matters

India's automotive sector is under growing pressure to decarbonise its manufacturing footprint, not just its vehicle fleet. Maruti Suzuki — which accounts for a significant share of domestic passenger vehicle sales — taking a visible step toward renewable energy in plant operations sends a signal to the broader industry. This is notably one of the larger disclosed single-company biogas investments in Indian manufacturing, and comes as the Centre pushes for wider adoption of compressed biogas under the SATAT scheme. The move also reduces the company's exposure to volatile imported gas prices.

What Comes Next

The Kharkhoda plant's commissioning timeline is tied to the current financial year, with full operational capacity expected to follow. Industry observers will watch whether other domestic automakers follow with comparable clean energy disclosures, particularly ahead of India's 2070 net-zero target commitments.