HT Bureau
GUWAHATI, June 24: Assam’s iconic tea industry, a vital sector that has shaped the state’s identity for over two centuries, is undergoing a significant transformation.
This evolution is being propelled by clean energy initiatives led by Cairn Oil & Gas, marking a quiet yet impactful revolution in one of India’s oldest and most economically important industries.
Through a combination of clean fuel solutions and climate-smart innovation, Cairn is helping Assam’s tea estates embrace a more sustainable future, ensuring the continued growth and resilience of this heritage sector.
Assam, known worldwide for its sprawling tea gardens and distinct aromatic brews, produces over 55% of India’s tea and contributes nearly one-sixth of the global supply.
With annual production exceeding 650 million kilograms, Assam’s tea industry supports the livelihoods of approximately three million people, ranging from tea pluckers to factory workers, and plays a pivotal role in the region’s economy.
Beyond its economic significance, Assam’s tea industry is also a cultural symbol of the state’s history and progress.
In an official statement, Cairn Oil & Gas highlighted the importance of this sector and the company’s commitment to fostering its sustainability.
Recognising the critical role of Assam’s tea industry in both the state and national economies, Cairn has been providing clean, natural gas to tea estates across Upper Assam since 2023.
This supply comes from Cairn’s Hazarigaon Gas Unit, the first northeast block auctioned under the Discovered Small Fields (DSF) policy to be put into production.
This project, which is a collaboration with Assam Gas Company Limited (AGCL), provides a more environmentally friendly and cost-effective alternative to coal-based energy systems, traditionally used in the tea estates.
The clean natural gas is supplied through a dedicated trunk pipeline and a gas cascading system, directly replacing coal in the tea processing stages.
This shift is delivering multiple benefits to the tea industry, including a reduction in carbon emissions, lower energy costs, and the creation of a more sustainable business model for the estates.
“Assam’s tea is one of India’s proudest exports, and at Cairn, we see clean energy as a catalyst for strengthening this legacy,” said a Cairn Oil & Gas spokesperson. “Our mission is to support the industry’s evolution with affordable and reliable energy solutions that enable both operational efficiency and long-term sustainability.”
Estate owners across Assam are already seeing the tangible advantages of switching to cleaner energy.
With Cairn’s natural gas supply, many tea gardens are reporting substantial savings in fuel costs, with some estates achieving reductions of up to 15-20%.
In addition to these financial gains, there has been a measurable decrease in greenhouse gas emissions, allowing producers to significantly improve their environmental footprint.
The improved energy efficiency is also enabling tea estates to diversify their operations.
Tea producers are increasingly adopting drought-resistant plant varieties, exploring specialty tea cultivation, and introducing water-saving irrigation techniques—key strategies to adapt to the growing challenges posed by climate change.
One notable example of this transition is Arin Tea Pvt Ltd, an estate that has embraced modern, sustainable practices thanks to Cairn’s clean energy support.
Rakhi Saikia, the Director of Arin Tea, shared that the estate has implemented drip irrigation across 30% of its plantation, which has led to a 15% saving in water usage while maintaining optimal yields.
“Cairn’s clean energy support has empowered us to innovate while staying true to Assam’s rich tea legacy. We’re tackling the climate crisis with practical solutions—like shade trees, efficient irrigation, and climate-adapted cultivation techniques—and clean energy is central to our journey,” Saikia remarked.
This forward-thinking approach mirrors the larger vision of Assam’s leaders and stakeholders.
In February 2025, during the Advantage Assam 2.0 summit, Vedanta Group Chairman Anil Agarwal highlighted Assam’s rich natural resources and emphasized the transformative potential of aligning the state’s traditional industries, such as tea, with sustainable, technology-driven growth.
Cairn’s commitment to integrating clean energy solutions with Assam’s tea production reflects this vision of sustainable growth, underscoring the importance of green energy in both economic and environmental progress.
The impact of Cairn’s local gas production is not limited to the tea industry alone.
The company’s clean natural gas is also contributing to Assam’s broader clean energy initiatives, powering CNG buses in Guwahati, the state’s largest city. This initiative is in line with India’s Atmanirbhar Bharat (self-reliant India) vision, which aims for greater energy independence and environmental stewardship.
Cairn’s local gas production, therefore, is a key contributor to both the state and national efforts towards achieving sustainability and reducing reliance on traditional fossil fuels.
With clean energy now deeply embedded in Assam’s tea industry, Cairn Oil & Gas is playing a vital role in driving the state’s transition towards a greener, more resilient economy.
As the industry continues to adopt sustainable practices, it is clear that clean energy is not only reshaping Assam’s tea sector but also paving the way for a sustainable future in agriculture, business, and local communities.
The transformation of Assam’s tea sector exemplifies the growing global movement toward sustainable business practices.
With Cairn Oil & Gas’ ongoing commitment to providing cleaner, cost-effective energy solutions, the Assam tea industry is well-poised to continue as a global leader in both quality and sustainability.