Abstract

The cost of an anaerobic digester (biogas plant) in rural India appears to exceed the benefit of the biogas produced, measured in terms of the value of the coal or electricity needed to do an equivalent amount of cooking. However, biogas plants are net producers of energy, which means that they can reduce the drain on India's foreign exchange from imports of petroleum. Additional secondary benefits from biogas plants are discussed that might justify public subsidization to encourage their adoption despite the unfavorable cost-benefit ratio.

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