The Ministry of Coal on February 07, 2024, notified regarding the Approval of the "Scheme for promotion of Coal/Lignite Gasification”.
It is directed to convey the approval of the President of India on the scheme for the promotion of Coal/Lignite Gasification Projects of Government PSUs and the Private Sector with an outlay of 8500 crores towards incentives for coal /lignite gasification projects under three categories.
The salient features of the scheme are as follows:
In category I, 4050 crores are provisioned for Government PSUs in which up to 3 projects will be supported by providing a lump-sum grant of 1,350 crores or 15% of capex, whichever is lower.
In category II, 3850 crores are provisioned for the private sector as well as Government PSUS in which a lump-sum grant of 1000 crores or 15% of capex, whichever is lower provided for each project. At least one project will be bid out on a tariff-based bidding process and its criteria will be designed in consultation with NITI Aayog.
In category III, 600 crores provisioned for demonstration Projects (indigenous technology) and/or small-scale product-based Gasification Plants under which a lump-sum grant of 100 crores or 15% of capex, whichever is lower, will be given to the selected entity who will have a minimum Capex of 100 Gr and minimum production of 1500 Nm3/hour Syn gas.
The details of the Guidelines for the Scheme for the promotion of Coal/Lignite Gasification Projects are attached to the document below.
[Notification No. 34018/1/2020-CCT (Part-1) (e-349946)]
