Business · India Bureau
India opens applications for ₹37,500-crore coal gasification initiative
The Centre is set to launch an application window for its ambitious coal and lignite gasification scheme, signalling the government's push to unlock cleaner energy pathways from domestic fossil fuel reserves. The move will provide early indicators of industrial uptake for the transformational energy infrastructure project.
LSN India ·
India's central government is preparing to open applications for a ₹37,500-crore coal gasification programme, marking a significant step towards commercialising the conversion of coal and lignite into synthetic fuels and chemicals. The scheme represents a substantial investment in emerging energy technologies aimed at reducing the nation's dependence on imported petroleum products while maximising value from domestic coal reserves.
The opening of the application window will serve as a critical barometer for private and public sector participation in the initiative. Industry response during this phase will offer policymakers valuable insights into the economic viability of gasification technologies and the appetite among energy producers to participate in the scheme's framework.
Coal gasification converts solid coal into a combustible gas that can be used for power generation, chemical production, and fuel synthesis. The technology has been identified by New Delhi as a key component of its energy security strategy, enabling the country to develop alternative fuels while supporting the broader transition agenda.
The scheme aligns with India's broader industrial policy objectives of promoting domestic manufacturing capabilities and reducing import dependence across the energy sector. By attracting participants through a structured application process, the government aims to establish a ecosystem for advanced coal utilisation technologies that could strengthen India's energy independence.