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Coal Ministry sees strong industry interest in Rs 37,500 crore coal gasification scheme

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New Delhi | July 20, 2026 9:56:48 PM IST
The Ministry of Coal said it received strong industry interest in the government's Rs 37,500 crore Surface Coal/Lignite Gasification Scheme, with public sector enterprises, private companies, technology providers and prospective applicants participating in a pre-application conference held on Monday ahead of the bidding process.

According to a Ministry of Coal press release, the conference, chaired by Additional Secretary Sanoj Kumar Jha, was held to clarify the scheme guidelines and the Request for Proposal (RFP) for potential applicants.

The ministry said the conference "witnessed enthusiastic participation from public sector enterprises, private companies, technology providers, and prospective applicants, reflecting strong industry interest in the Government's flagship initiative to promote cleaner and value-added utilisation of domestic coal."

During the session, officials explained the scheme guidelines and RFP, including "eligibility criteria, evaluation methodology, financial incentives, and the application process," while addressing queries raised by participants.

The ministry said the Rs 37,500 crore scheme, which was approved by the Union Cabinet on May 13 aims to speed up the development of surface coal and lignite gasification projects and promote the production of value-added products.

According to the release, the scheme will support the production of "high-value downstream products such as synthetic natural gas, ammonia, methanol, DRI, synthetic fuels, and chemicals."

The ministry said the scheme is expected to attract investments of around Rs 2.5 lakh crore to Rs 3 lakh crore, enable the utilisation of nearly 75 million tonnes of coal annually, create about 50,000 employment opportunities and reduce India's dependence on imported energy and chemical products.

The Coal Ministry also informed participants that the last date for submission of applications is September 7 and encouraged all eligible entities to submit their proposals within the prescribed timeline.

According to the Ministry, the pre-application conference was organised to help prospective applicants better understand the scheme and facilitate wider participation in the government's coal gasification programme. (ANI)

 
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