The Ministry of Coal has taken a significant step in advancing India’s clean energy goals through coal gasification, issuing Letters of Award (LOAs) to successful applicants under the ₹8,500 crore Coal Gasification Incentive Scheme. The awards were presented by Coal Secretary Shri Vikram Dev Dutt in the presence of senior officials, including Additional Secretary Ms. Vismita Tej, Advisor (Projects) Shri Anandji Prasad, OSD (Technical) Shri Asheesh Kumar, and Director (Technical) Shri BK Thakur.
Key Projects Awarded Under the Scheme
Under Category I, which focuses on PSUs and joint ventures:
- Lakhanpur, Odisha: Bharat Coal Gasification and Chemicals Limited (BCGCL), a joint venture between CIL and BHEL, secured ₹1,350 crore in incentives for its coal gasification project. With a total investment of ₹11,768 crore, the project aims to produce 0.66 MMTPA of ammonium nitrate.
- Sonepur Bazari, West Bengal: Another JV between CIL and GAIL received ₹1,350 crore for a coal-to-synthetic natural gas (SNG) project with an investment of ₹13,052.81 crore. The project is set to produce 1.83 MMSCMD of SNG.
- Niljai, Maharashtra: Western Coalfields Ltd. (a CIL subsidiary) was granted ₹1,350 crore for a coal-to-SNG project costing ₹12,214.86 crore, with a similar production target of 1.83 MMSCMD of SNG.
Under Category III, which includes small-scale and demonstration projects:
- Chandrapur, Maharashtra: New Era Cleantech Solution Private Limited was awarded ₹100 crore for its coal-to-ethanol demonstration project. With a total investment of ₹667 crore, the plant will utilise Carbon Capture, Utilisation, and Storage (CCUS) technology to produce 18 KTPA of ethanol while capturing 20,144 MT of CO2 annually.
Driving Innovation in Coal Gasification
The Coal Gasification Incentive Scheme is a pivotal part of India’s strategy to achieve 100 million tonnes of coal gasification by 2030. By encouraging technological advancements and environmentally responsible practices, the initiative seeks to lower carbon emissions, enhance energy security, and foster sustainable development.
The ministry emphasised that these projects symbolise India’s commitment to clean energy innovation and ecological sustainability. By adopting cutting-edge coal gasification technologies, India is addressing its current energy requirements while setting global standards for clean coal solutions, contributing to a greener future.
