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Talcher Fertilisers Limited (TFL) and NTPC Limited have already submitted applications under the Centre's Rs 37,500 crore coal and lignite gasification scheme, the Ministry of Coal said on Saturday, rejecting reports that the scheme has received no takers.
The Ministry said the first application window is still open and will close on September 7, making any assessment of the number of applications at this stage premature. It added that other prospective applicants are at various stages of preparing their projects and finalising applications. The Scheme for Promotion of Surface Coal/Lignite Gasification Projects was approved by the Union Cabinet on May 13, 2026, with a total financial outlay of Rs 37,500 crore. It aims to promote the conversion of domestic coal and lignite into higher-value products such as syngas, methanol, ammonia and urea. The ministry said the scheme is expected to catalyse investments of around Rs 2.5 lakh crore to Rs 3 lakh crore across nearly 25 projects and generate about 50,000 direct and indirect employment opportunities. It is also expected to contribute to the government's broader objective of achieving 100 million tonnes of coal gasification capacity by 2030, the ministry said. "The assertion that the Scheme has received 'no takers' is factually incorrect," the ministry said, pointing to the applications submitted by TFL and NTPC. The ministry said it had undertaken stakeholder outreach after the scheme's approval, including roadshows in New Delhi, Hyderabad and Mumbai, followed by the issuance of the Request for Proposal on July 7 and the launch of an online application portal. A pre-application conference was held on July 20 to address queries on eligibility, scheme provisions and the application process, it said. The ministry noted that large-scale coal and lignite gasification projects require substantial preparation, including technology assessment, feedstock arrangements, project economics and preparation of detailed proposals. It therefore expects additional applicants to submit proposals as the deadline approaches. The scheme will also allow companies multiple opportunities to participate through rolling application rounds. After one round closes, the next round will open from the following day and remain open for two months, allowing prospective applicants additional time to complete project preparation. The ministry said participation should be assessed after completion of the prescribed application process and subsequent rounds rather than at the current interim stage. (ANI)
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