IOCL–GPS Renewables JV Raises USD 95 Million from Indian Bank for 9 Compressed Biogas Projects

Bengaluru, October 04, 2025: IOC GPS Renewables Private Limited (IGRPL), a joint venture between IndianOil Corporation Ltd. (IndianOil) and GPS Renewables, has raised INR 836 crore (approximately USD 95 million) in debt financing from Indian Bank to develop nine Compressed Biogas (CBG) projects across India. The financing agreement was executed on September 30 in New Delhi between Indian Bank and IGRPL, represented by CEO Devendra Singh Sehgal and CFO Punit Jain.

The funding marks the largest single-bank debt raise in the Compressed Biogas sector and the first fully non-recourse debt financing for such projects in India. The nine plants — four in Haryana, three in Uttar Pradesh, one in Chhattisgarh, and one in Andhra Pradesh — will each produce 15 tonnes of CBG per day using paddy straw as feedstock. All facilities are expected to be completed by 2026.

Commenting on the development, Devendra Singh Sehgal, CEO, IGRPL, said, “IGRPL was formed with an aim to scale India’s biogas infrastructure and drive wider adoption. This funding gives us the momentum to accelerate that mission. This is the first time that an OMC Joint Venture has secured a sanctioned loan for CBG projects without any corporate collateral, indicating IOCL’s strong credibility and the sector’s massive potential. This not only builds confidence among stakeholders but also encourages more large-scale investments in India’s clean energy sector.”

Deepak Agarwal, Managing Director, GPSR Arya, added, “Securing the largest single-bank funding in the CBG sector underscores the scale of the opportunity that exists. As the country makes significant strides towards a clean energy transition, our vision is to drive biofuel production and position India as a leading producer of renewable energy. This fundraise is a pivotal step in IGRPL’s journey as it enables us to execute our ambitious plan of building a nationwide network of CBG plants to significantly reduce our dependence on fossil fuels and lower greenhouse gas emissions.”

The IGRPL joint venture, formed in 2024, aims to scale up biofuel production across India by converting organic waste into Compressed Biogas — a cleaner alternative to traditional fossil fuels. The initiative supports IndianOil’s goal of achieving operational net-zero emissions by 2046 and contributes to India’s broader net-zero target by 2070.