Coal Gasification Incentive Scheme: Promoting Cleaner Coal Utilisation

Category: Government Schemes / Energy / Coal

  • The Government of India has introduced incentives to promote coal/lignite gasification projects.
  • Coal gasification converts coal into syngas, primarily containing carbon monoxide and hydrogen.
  • Syngas can be used to produce fertilisers, methanol, chemicals, hydrogen and synthetic fuels.
  • Gasification can reduce dependence on imported feedstocks for certain industrial applications.
  • The initiative is also linked with efforts to make better use of India's domestic coal resources.
  • It supports India's broader goal of diversifying the use of coal beyond conventional combustion.

Key Pointer: Coal gasification → Coal → Syngas → Hydrogen/chemicals/fertilisers