The Investment Case
Is This For You?
01
Farmer or landowner
Your land already sits beside the perfect feedstock crop waste, dung, food scraps. A CBG plant turns that into a steady monthly income from land you already own.
02
Entrepreneur with capital
You have ₹50L–₹5Cr to put to work and want a business that earns without eating all your time. A turnkey CBG plant runs as a real operation with us managing the complexity.
03
NRI investor
You want to deploy capital in India’s high-growth renewable energy sector. Nexgen Energia handles everything on the ground you invest remotely and receive returns without being present.
04
Real estate developer
Land that isn’t generating returns yet? A CBG plant can run alongside or prior to development, generating cash flow while your primary project matures.
05
Sustainability-minded investor
ESG is no longer a preference it’s a mandate. A CBG plant is a verifiable, measurable contribution to India’s clean energy transition, with returns that fund more of the same.
06
Agri-business owner
You already manage feedstock at scale. A CBG plant converts your existing waste streams into a parallel revenue line no new raw materials needed, just a new destination for what you already produce.
The Numbers
Illustrative model — 6 TPD plant,
₹28 Cr project
22.2%
Project IRR (unlevered)
38.1%
Equity IRR (levered, 70:30 debt)
~3 yrs
Equity payback period
~44%
EBITDA margin
Revenue sources
~80%
~20%
Modelled on: ₹73/kg CBG realisation, ₹2.5/kg bio-fertilizer (FOM) realisation, 1,970 TPA CBG output, 14,000 TPA FOM output, a 70:30 debt-to-equity structure at 10.5% interest over an 8-year loan tenure, and a 15-year evaluation horizon. This is one modelled configuration not a promise of returns. Nexgen Energia prepares a site-specific DPR with verified numbers before you commit any capital.
5-year income tax holiday
CBG plant operators are exempt from income tax for the first 5 years of operation under Indian government policy. This directly boosts your net returns during the most capital-recovery-intensive years of your business.
Financing structure & debt safety
₹28.00 Cr
Debt (70%)
₹19.60 Cr
Equity (30%)
₹8.40 Cr
Interest rate on debt
10.5%
Loan tenure
8 years
NPV @ 12% discount rate (project / equity)
₹16.2 Cr / ₹18.8 Cr
Debt serviceability
Minimum DSCR in this model is 1.58x, averaging 1.96x across the loan tenure well above the 1.13x covenant floor lenders typically require. That cushion is a big part of why collateral-free financing is workable here.
Get your custom DPR
A Detailed Project Report tailored to your specific land, feedstock, location, and investment size. Nexgen Energia prepares this as part of the feasibility phase before you make any financial commitment.
The Math
How ₹17.88 Cr in revenue becomes a return.
Same 6 TPD model, walked through step by step revenue down to profit, and exactly where the operating cost goes.
Revenue to profit — Year 1 (illustrative)
Line item
₹ Cr / yr
Revenue (CBG + bio-fertilizer)
17.88
– Operating costs (feedstock, power, staff, etc.)
(10.00)
= EBITDA
7.88
– Depreciation (10% of ₹28 Cr capex)
(2.80)
= EBIT
5.08
– Interest (Year 1, on ₹19.6 Cr debt @ 10.5%)
(2.06)
= Profit before tax
3.02
– Tax (25%)
(0.76)
2.26
This is a single-year snapshot to show how the math works not the full picture. Interest falls every year as the loan amortises, so profit after tax grows over time. That’s exactly why the equity payback (~3 years) and equity IRR (38.1%) shown above are stronger than one year’s profit implies.
Where the ₹10 Cr operating cost goes
Cost head
₹ Cr / yr
% of OPEX
Raw material (feedstock)
5.84
58%
Electricity
2.27
23%
Salary
0.98
10%
Diesel & fuel
0.40
4%
Other G&A
0.30
3%
Maintenance
0.25
2%
Total OPEX
10.00
100%
Figures are rounded to the nearest ₹0.01 Cr and may not sum exactly.
Feedstock is the biggest lever
Raw material alone is over half of every operating rupee spent. That’s why Nexgen Energia's feasibility study focuses so heavily on your local feedstock cost and supply it moves your margin more than any other single input.
The Plant, In One Glance
What a 6 TPD plant actually looks like on the ground.
6 TPD
Nameplate capacity (~1,970 TPA actual output)
6–7 acres
Land required
~21 people
Operators, mechanical, supervisors & labour
650–700 KVA
Electricity connection required
Feedstock mix
Feedstock
Quantity / day
Cost
Napier grass
120 tons
₹1,000 / ton
Cow dung (10% mix)
20 tons
₹2,000 / ton
Plant life & payback
Engineered for 20 years
The plant is built for a 20-year operating life. The financial model above conservatively evaluates cash flows over a 15-year horizon so the real upside runs longer than the numbers already shown.
Payback checks out two ways
The detailed cash-flow model shows equity payback in ~3 years. A simpler, independent estimate on the same plant profile lands in the same 3–4 year range two different ways of counting arrive at the same answer.
Step by Step
Your journey from land to income.
Every phase is mapped out. Every deliverable is Nexgain’s responsibility. You know exactly what happens — and when.
1
Phase 1 — Weeks 1–4
Feasibility & planning
Nexgen Energia's team visits your site, evaluates the land, analyses local feedstock availability, and studies the market for CBG in your region. You receive a full Detailed Project Report (DPR) with financial projections before committing a single rupee.
→ Site survey and technical assessment
→ Feedstock availability and quality analysis
→ Local market study for CBG and fertilizer demand
→ Custom financial projections and ROI modelling
→ Business plan with funding and subsidy strategy
3–4 WEEKS
2
Phase 2 — Months 2–8
Design & construction
Once the DPR is approved and funding is arranged, Nexgen Energia takes full project ownership. Engineering, procurement, civil works, equipment installation all managed by our team. You review milestones; we do the building.
→ Turnkey project execution Nexgen Energia responsible for all delivery
→ Equipment procurement via our established supply chain
→ Civil construction and plant installation
→ Bioenergy Germany technology integration
→ Quality testing and commissioning checks
6–8 MONTHS
3
Phase 3 — Month 9
Training & launch
Before the plant goes live, your team is fully trained by Nexgen Energia's technical experts. Day-one operations are supported on-site. You launch with confidence your team knows the plant, the process, and the protocols.
→ World-class operational training for your team
→ Safety protocols and emergency procedures
→ Biological process management training
→ Nexgain on-site support for launch week
→ All regulatory clearances in place before opening
2–4 WEEKS
4
Phase 4 — Month 10 onwards
Commissioning & Gas Sales
Your plant is running. CBG and bio-fertilizer outputs are being bought back by Nexgen Energia at agreed rates. Our technical team monitors performance, resolves issues, and identifies opportunities to improve efficiency or expand capacity.
→ 100% Sales Assurance CBG and bio-fertilizer
→ Ongoing biological services and process optimisation
→ Performance monitoring and yield improvement
→ Technical maintenance and breakdown support
→ Expansion planning when you’re ready to scale
ONGOING — FOR LIFE
Our Commitments
Guarantee of operations
100% Sales Assurance
Authorized buyer network.
Every cubic metre of CBG your plant produces is purchased by Nexgen Energia at agreed rates. Every kilogram of bio-fertilizer slurry and solid organic manure is also bought back. You are never responsible for finding customers. You produce; we buy.
This commitment is written into your agreement with Nexgen Energia not a verbal assurance. Ask to see the buyback agreement terms during your feasibility discussion.
Guarantee of operations
Capital Support
Banking & subsidy guidance.
Nexgen Energia facilitates access to collateral-free financing through our banking and NBFC partnerships. Combined with MNRE subsidies and the 5-year tax holiday, your effective capital outlay is a fraction of the headline project cost.
Loan availability depends on your financial profile and project specifics. Nexgen Energia assists with applications and documentation we don’t lend ourselves, but we know which institutions do this well.
Guarantee of operations
Before day one. And after.
World-class operations training.
Your team receives comprehensive training in plant operations, biological process management, safety, and quality control. Nexgen Energia's technical experts remain available for ongoing biological services, troubleshooting, and process optimisation indefinitely.
Training is structured, documented, and delivered by specialists with hands-on experience from our 25+ operational projects across India.
Risk mitigation
We stay in it with you.
What happens if something goes wrong?
A CBG plant is a living biological system. Issues happen feedstock variations, process fluctuations, equipment wear. Nexgen Energia's technical team is your first call. We troubleshoot remotely and on-site. Our supply chain ensures parts availability.
We have 25+ years of experience resolving exactly these situations. You are not alone in this.
Government of India
5 Years
Income tax holiday
GST Input
Credit on manufacturing
Subsidised
Loan interest rates
Land waiver
Conversion charges waived
Own a 2–25 TPD CBG plant on your land with Nexgen Energia as your EPC partner. Ideal for landowners and investors seeking long-term, largely passive income.
✓ Full turnkey delivery, 2–25 TPD
✓ 100% Sales Assurance
✓ Loan assistance available
Supply equipment, raw materials, or services to Nexgen Energia's growing CBG project pipeline. Access high-growth projects across India with a trusted, established partner.
✓ Diverse project opportunities
✓ Transparent vendor process
✓ Long-term collaboration
Common Questions
