Promotion of Coal Gasification and Clean Coal Technologies

Why in news

The government has approved a scheme to promote surface coal/lignite gasification projects with a significant financial outlay, aiming to boost coal gasification capacity and contribute to national targets.

Exam relevance

GS3 · Economy, Environment & Ecology, Science & Technology · Prelims · Mains

Key facts

1. National Coal Gasification Mission aims for 100 Million Tonnes (MT) of coal gasification capacity by 2030.
2. Currently, approximately 22.6 Million Tonnes Per Annum (MTPA) of coal gasification capacity is operational or under implementation.
3. A new scheme for Promotion of Surface Coal/Lignite Gasification Projects was approved on 13.05.2026 with a financial outlay of ₹37,500 crore.
4. This new scheme is expected to utilize approximately 75 MTPA of coal.
5. An earlier scheme approved on 24.01.2024, with a financial outlay of ₹8,500 crore, has approved eight coal gasification projects.
6. One project under the ₹8,500 crore scheme by Jindal Steel Limited (JSL) has achieved financial closure and is under construction.
7. Five projects under the ₹8,500 crore scheme have completed ground breaking and are in various stages of implementation.

Prelims pointers

• Target for coal gasification capacity by 2030: 100 MT.
• Current operational/under implementation coal gasification capacity: approx. 22.6 MTPA.
• Financial outlay for the new scheme (approved 13.05.2026): ₹37,500 crore.
• Expected coal utilization by the new scheme: approx. 75 MTPA.
• Financial outlay for the earlier scheme (approved 24.01.2024): ₹8,500 crore.
• Number of projects approved under the ₹8,500 crore scheme: 8.

Mains practice question

Discuss the significance of promoting coal gasification and clean coal technologies in India, considering its energy security needs and environmental commitments. What are the key government initiatives in this regard?

Static linkage

Coal gasification is a process that converts coal into synthesis gas (syngas), a mixture primarily composed of carbon monoxide and hydrogen. This syngas can be used to produce electricity, chemicals, and fuels. The promotion of coal gasification aligns with India's energy security goals and efforts to diversify its energy sources, while also addressing environmental concerns through clean coal technologies.

Significance

The promotion of coal gasification is significant for India's energy sector as it offers a pathway to utilize the country's abundant coal reserves more efficiently and cleanly. It can reduce reliance on imported fossil fuels, enhance energy security, and provide feedstocks for various industries like fertilizers and chemicals. The focus on clean coal technologies aims to mitigate the environmental impact associated with coal usage, such as greenhouse gas emissions.