Public Sector Unit News

₹37,500 Crore Coal Gasification Scheme to Draw Rs 3 Lakh Crore Investment: Coal Ministry

At a pre-application conference held on Monday, the Ministry of Coal informed potential applicants about the scheme’s execution, eligibility requirements, and application process for the Rs 37,500 crore Scheme for Promotion of Surface Coal/Lignite Gasification Projects. Public and private organisations, as well as technology suppliers and industry players, showed up in large numbers at the event, demonstrating the great level of interest in the government’s clean coal project.

Officials from the ministry briefed conference attendees on the scheme’s parameters, RFP, eligibility requirements, evaluation criteria, financial incentives, and submission processes. For the competitive selection process to go off without a hitch, all participant enquiries were thoroughly handled.

The ministry has reminded all parties involved that September 7, 2026, is the deadline for submissions and has asked qualified companies to submit plans by that date so they can take advantage of the scheme.

The Rs 37,500 crore coal gasification initiative was approved by the Union Cabinet in May 2026 and is intended to speed up the development of gasification projects for surface coal and lignite all over the nation. The goal of the program is to increase the domestic value addition of India’s rich coal resources by promoting the manufacture of synthetic fuels, synthetic natural gas (SNG), ammonia, methanol, direct reduced iron (DRI), and other value-added chemicals.

The ministry has stated that the initiative is anticipated to attract investments between 2.5 and 3 lakh crore rupees, enable the yearly utilisation of about 75 million tonnes of coal, and create roughly 50,000 job openings. The industrial and manufacturing sectors of India are anticipated to benefit from this, and the country is anticipated to become less reliant on energy and chemical product imports.

Clean coal technology have been vigorously promoted by the Ministry of Coal through worldwide cooperation. It hosted a BRICS side session in June 2026 to discuss coal gasification and its potential to improve energy security, industrial growth, and cleaner coal use. Hydrogen, ammonia, methanol, synthetic fuels, DRI, and many industrial chemicals can be produced from syngas, which is produced through coal gasification.

An important part of India’s plan to encourage cleaner coal usage and lessen reliance on imports is the Rs 37,500 crore coal gasification project. The program’s goal is to improve the nation’s energy independence and industrial competitiveness by promoting massive investments, cutting-edge technology, and the creation of valuable chemicals and fuels within the country.

Image: NDTV Profit

Disclaimer: All news articles are sourced through valid sources, and Business Unlimited (BU) doesn’t have any exclusive rights on these pieces. If BU features any exclusive story or article, it will be marked as Exclusive Story.

admin

About Author

Leave a comment

Your email address will not be published. Required fields are marked *

You may also like

Public Sector Unit News

S. M. Ramanathan appointed Director (Engineering, Research & Development), BHEL

On his appointment as Director on the Board of Bharat Heavy Electricals Limited (BHEL), S. M. Ramanathan, 58, has assumed
Public Sector Unit News

NLC India Hosts Grand Rural Sports Meet in Neyveli

In line with the consistent focus on the welfare of peripheral villages of Neyveli and to promote participation and identifying