The company plans to establish 42 such plants across Punjab to produce bio-CNG, the company's MD Sanjeev Nagpal told reporters here.
It has signed a MoU with Indian Oil Corporation (IOC) for supply of CNG produced from these plants, he said, adding that IOC could also invest in these projects.
"We have set up a biogas-based power plant at Fazilka in Punjab where we are producing 1 MW power per hour for 8 hours a day," Nagpal told reporters here.
Elaborating on expansion, he said the 42 planned plants would have higher capacity and would require Rs 40 crore for one facility.
"Paddy straw is an asset not a liability and we need to prevent its burning. There is an immediate need to manage paddy straw in a way that not only prevents burning but creates an environment that sustains our agriculture," he said.
Nagpal said the company had commissioned Indian Institute of Technology, Delhi to find a solution to the open field burning of paddy straw.