Namaskar! Welcome to Udaya India. I (Anshuman Anand) am standing today at Yashobhoomi, Dwarka, New Delhi, where the Bioenergy Summit is underway. For an interview, I am joined by the leadership team of ReEnergy Dynamics (RED) — a company at the forefront of India’s biofuel revolution. With me are Kushagra Nandan, Chairman & MD of RED, Varun Karat, Co-founder & CEO of RED and Subhash Kumar, Advisory Board Member, Former Chairman of ONGC. Excerpts of the interview:
Kushagra Nandan, at such a young age you’ve built such a large institution. What inspired you to start RED?
The inspiration came from India’s own growth story. We are already a $4 trillion economy and hope to reach $40–45 trillion in the coming decades. If the country is progressing, it is our responsibility too, as citizens and entrepreneurs, to contribute.
This sector is close to my heart. Earlier, I built a large-scale solar company. Now I feel it is the right time to build something that ensures a clean environment for the next generation. Our Prime Minister has guided the nation on how crop residue and waste can be treated to produce bio-CNG.
The policies are supportive, technology is ready, and we have the experience to implement it. The response has been very positive, and that gives us confidence to scale further.
E Varun Karat, where is your business spread today and what future plans do you have?
Currently, ReEnergy Dynamics works across four major areas:
Technology & EPC Projects: We are setting up large-scale plants for Reliance, in Maharashtra, Uttar Pradesh, and Gujarat.
Aggregation : Collecting feedstock like crop residue and sugarcane trash. We’ve already worked across nine states. RED is the only biofuels company in India with the largest aggregation machinery fleet.
Manufacturing : For the first time in India, we are manufacturing paddle agitators. Imported from Germany, they cost ₹40–50 lakh; we are producing them under Make in India for only ₹15 lakh for the first 100 units. We also manufacture gas holders at Chhatrapati Sambhajinagar, Maharashtra.
Promoting Indigenous Solutions : Everything we earlier imported, we now aim to produce in India itself. Our vision is to support the Hon’ble Prime Minister’s dream of self-reliance in energy.
Subhash Kumar, you’ve had a distinguished career with ONGC. Why did you choose to join RED after that?
As Kushagra rightly said, if India wants to grow 6–10 times economically, the most basic requirement is energy. But not just imported energy — we must convert our domestic resources.
India’s CBG (compressed bio-gas) potential is about one and a half times the country’s total natural gas production (domestic + imported). That’s huge. The government has set a target of 5,000 CBG plants with 15 million metric tonnes of capacity under the SATAT scheme.
What RED is doing is exactly right — at the right time, in the right scale, and across the full value chain. This is not only good for their business but also contributes significantly to the sector and creates a framework for others to follow.
Kushagra Nandan, when you began in India, did you face difficulties despite the PM saying red tape has reduced?
I studied and worked in the US for 10 years before returning to India 15 years ago. Back then, even applying for a car loan was difficult. Today, thanks to digitisation, things are far easier.
Of course, renewable energy is a new sector — with challenges related to land, feedstock, and project execution. But central and state governments are very supportive. Policies are positive, processes are transparent, and if one has determination, things move smoothly.
I encourage young people to enter this sector with positivity — there is huge growth potential and government backing.
Varun Karat, you work on the ground. How has the situation changed in the last decade?
A lot has changed. For example, in Uttar Pradesh, officers themselves call us to check if our project is facing delays and assure us of support. Last year, when we were aggregating paddy straw, we received direct help from district officials and police to prevent stubble burning.
Compared to 10 years ago, doing business in India has become much easier. There’s a shared mindset across states like UP, Maharashtra, and Madhya Pradesh that the country must progress. That positivity reflects in policy and ground-level execution.
Subhash Kumar, with your long experience, how do you view India’s policy evolution?
India has always adopted progressive policies, but the last two to three decades have been truly transformative. We built on strong foundations and focused on self-reliance.
India’s biggest strength is its youth. No other country has this demographic advantage. The government’s policies are not only good but highly responsive. If an implementation issue arises, authorities quickly make corrections.
Also, India is the largest consumption market. Whatever we produce, we can consume. That gives us a unique advantage. I believe the next 25 years belong to India, particularly in energy. By 2047, we can aspire to be energy independent, led by young leaders like Kushagra and Varun.
Kushagra Nandan, what more should the government do for this sector?
Policies are already positive, but two areas need more focus:
Financing : In solar, financial institutions supported projects from the start. For biofuels, we need similar understanding. A master trainer program should be developed to train banks and financial institutions across metro, tier-2, and rural branches. This will help farmers and small entrepreneurs access credit.
Aggregation Awareness: Farmers are ready to give crop residue, but aggregation and logistics remain weak. More awareness is needed that aggregation itself is a big business opportunity for youth and startups.
If financing and aggregation strengthen, the sector will scale rapidly.
Varun Karat, what challenges do you see in policies, especially in agro and labour areas?
This sector really took shape because of three policy steps:
2014: Swachh Bharat Mission created awareness on waste management.
2016: MSW Rules mandated scientific processing of urban waste.
2018: SATAT Policy, which required OMCs (like IOCL, BPCL, ONGC) to purchase bio-CNG.
Technology, feedstock, and market all came together. But policies always need amendments. The good part is that even the PMO directly listens to industry pain points.
For example, if gas pricing needs to be adjusted, we can take it up, and the government responds quickly. This responsiveness has helped not only RED but also many small companies grow.
Finally, Subhash Kumar, what further advice would you give to the government?
The government is already doing well, but the most important thing is that they are listening. There’s a strong feedback mechanism.
One focus area should be ensuring that as CBG science and economics evolve, policies remain flexible and adaptive. The government must continue supporting the ecosystem — from small farmers to large projects — so that the full value chain thrives.
By Anshuman Anand
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