Talcher Fertilisers, NTPC apply for coal gasification scheme

The coal ministry on Saturday said Talcher Fertilisers Ltd and NTPC Ltd have informed that they have submitted applications under the government's coal and lignite gasification scheme. The first application window under the scheme is open until September 7.

The ministry said it was also in discussions with other prospective applicants at different stages of project preparation and are in the process of finalising their proposals.

The scheme for promotion of surface coal and lignite gasification projects was approved by the Cabinet on May 13 with a total financial outlay of ₹37,500 crore.


It is aimed to promote the conversion of domestic coal and lignite into higher-value products, including syngas, methanol, ammonia and urea. The request for proposals under the scheme was issued on July 7. The government expects more applications as the deadline approaches. Applications will be invited through rolling rounds. Once one application window closes, the next round will open from the following day and remain open for two months, allowing companies additional time to prepare projects.

The scheme is part of the government's broader effort to expand coal gasification in India and cut the dependence on imports of products that can potentially be produced from domestic coal and lignite. Gasification converts coal into syngas, which can then be used to produce chemicals, fertilisers, fuels and other industrial products.