Govt invites applications for coal gasification projects under Rs 37,500 crore scheme
New Delhi, July 8
The Ministry of Coal has invited applications under the Scheme for Promotion of Surface Coal/Lignite Gasification Projects, approved by the government in May this year with a total financial outlay of Rs 37,500 crore, according to an official statement issued on Wednesday.
The scheme is a major initiative aimed at promoting surface coal and lignite gasification projects, thereby enhancing value addition, reducing import dependence, and supporting India's vision of achieving greater self-reliance in the energy and chemical sectors.
After the approval of the scheme, the guidelines were issued on June 25, followed by the publication of the Request for Proposal (RFP) on July 7, inviting eligible applicants to submit proposals.
To facilitate stakeholder participation and provide clarity on the Scheme provisions and the application process, the Ministry will hold a pre-application conference on July 20. Prospective applicants and other stakeholders are encouraged to participate in the conference and submit their queries for clarification, the statement said.
The last date for submission of applications is September 7.
The Scheme Guidelines, Request for Proposal (RFP), and the detailed application timeline are available on the Ministry of Coal website. Interested entities are encouraged to review the documents.
Coal gasification is a transformative technology that converts coal into synthesis gas (syngas), which can be further utilised for the production of value-added products such as methanol, ammonium nitrate, synthetic natural gas, and a range of industrial chemicals. Recognising its strategic importance, the government has undertaken several policy initiatives and incentive measures to promote coal gasification as a means to enhance energy security, reduce import dependence, and diversify the utilisation of domestic coal resources.
The government conducted roadshows on coal gasification in June in Delhi and Hyderabad, during which discussions were held with stakeholders on policy support, technological innovations, investment opportunities, and project implementation strategies. The platform brought together policymakers, industry leaders, technology providers, and investors to explore collaborative pathways for accelerating the development of coal and lignite gasification projects across the country.
— IANS
Reader Comments
Good initiative on paper, but I worry about the environmental cost. Coal gasification still produces CO2 and water pollution. Hope they've mandated carbon capture or clean tech in the RFP, otherwise we're just shifting pollution from imports to domestic. Pre-application conference on July 20—will stakeholders raise this?
This is a masterstroke for our energy security. Syngas can replace natural gas in fertiliser plants—imagine reducing our urea import bill! Plus methanol production from coal can feed the chemical sector. The roadshows in Delhi and Hyderabad show government is serious. But execution is key; we need quick clearances and technology transfer from global partners.
As someone working in petrochemicals, I see this as a smart diversification. India has abundant coal but we import 80% of our methanol and ammonia. Coal gasification could flip that. The Rs 37,500 crore outlay is competitive globally. But we need to ensure the syngas quality meets industrial specs. The July 20 conference should clarify technical benchmarks.
I'm cautiously optimistic. Coal gasification is proven globally (China does it massively), but India's high-ash coal (35-45% ash) is tricky. The RFP must incentivise technology providers who can handle our coal quality. Also, what about the water requirement? These plants need lots of water—hope they consider drought-prone regions. 🤔
Great move! This aligns with the National Coal Gasification Mission. The Ministry's proactive approach—roadshows, pre-application conference,
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