Coal Gasification Push: India Bets on Clean Energy Revolution

The Indian Cabinet is poised to approve a Rs 37,500 crore scheme aimed at promoting coal gasification projects. This initiative seeks to boost clean energy production, reduce import dependence, and enhance the utilization of India's extensive coal reserves by converting coal into fuels and chemicals.

The Indian Cabinet is on the verge of approving a significant Rs 37,500 crore incentive scheme to boost coal gasification projects, according to sources. This move is part of a broader strategy to promote clean energy production and reduce the country's reliance on imported fuels.

The coal ministry has completed a Cabinet note outlining the scheme, which aims to accelerate surface coal and lignite gasification projects nationwide. The scheme's purpose is to foster self-reliance by minimizing dependence on critical commodities like LNG, urea, and ammonia, while maximizing the use of domestic coal resources.

An industry analyst indicated that this initiative is a strategic response to the vulnerabilities exposed by recent geopolitical tensions in West Asia. By leveraging its extensive coal reserves, India hopes to reduce import dependence, ensuring energy security in a fragile global supply chain environment.