Delhi: The Ministry of Coal has invited applications under the Scheme for Promotion of Surface Coal/Lignite Gasification Projects, a major government initiative with a total financial outlay of ₹37,500 crore.
The scheme was approved by the Government of India on May 13, 2026, with the objective of promoting surface coal and lignite gasification projects, increasing domestic value addition and reducing dependence on imported energy resources.
The initiative aligns with India’s vision of achieving greater self-reliance in the energy and chemical sectors.
Scheme Aims to Promote Coal Gasification Projects
The Surface Coal/Lignite Gasification Scheme is designed to encourage the development of advanced coal conversion technologies in India.
Through this initiative, the government aims to:
- Increase value addition of domestic coal and lignite resources
- Reduce reliance on imported energy and chemical products
- Support domestic production of energy-related materials
- Strengthen India’s energy security
Coal gasification technology converts coal into useful products such as synthetic gas, which can be further used for producing chemicals, fuels and other industrial applications.
Scheme Guidelines and RFP Issued for Applicants
Following the approval of the scheme, the Ministry of Coal issued the detailed Scheme Guidelines on June 25, 2026.
Later, the Request for Proposal (RFP) was released on July 7, 2026, inviting eligible companies and stakeholders to submit their project proposals.
The RFP provides details regarding eligibility criteria, application procedures and other requirements for participation in the scheme.
Pre-Application Conference Scheduled on July 20, 2026
To support potential applicants and address queries related to the scheme, the Ministry of Coal will conduct a Pre-Application Conference on July 20, 2026.
Prospective applicants and other interested stakeholders have been encouraged to participate in the conference and submit their queries for clarification regarding the application process and scheme provisions. The conference is expected to provide better understanding of the guidelines and help applicants prepare their proposals effectively.
Application Submission Deadline Announced
The last date for submitting applications under the ₹37,500 crore scheme is September 7, 2026.Interested entities are advised to carefully review the scheme guidelines, Request for Proposal (RFP) and application timeline before submitting their proposals.
Government Push for Self-Reliant Energy and Chemical Sector
The coal gasification initiative represents a significant step towards strengthening India’s domestic energy ecosystem.
By encouraging investment in coal and lignite gasification projects, the government aims to promote technological innovation, create new industrial opportunities and reduce dependence on external sources for critical energy and chemical requirements.
The Ministry of Coal has made all relevant documents, including the Scheme Guidelines, RFP and detailed application schedule, available on its official website for interested applicants.
