Surface Coal/Lignite Gasification Scheme

planned

The Union Cabinet approved a ₹37,500 crore scheme to promote surface coal and lignite gasification projects. The scheme supports gasification of about 75 million tonnes of coal and lignite through new projects, targeting investment mobilisation of ₹2.5–3 lakh crore and creation of about 50,000 jobs. It includes financial incentives capped at 20% of plant and machinery cost, with limits per project, product, and entity group. The scheme is technology-agnostic and supports indigenous technologies, with coal linkage tenure extended to 30 years under the Non-Regulated Sector linkage auction framework.