Coal Gasification Challenges in India

The NITI Aayog has raised concerns regarding the incompatibility of gasification technology with the high ash content coal available in India. Despite letters of award being issued, the progress on coal gasification projects has been limited.

Key Challenges

• The primary issue is selecting a technology that matches the properties of Indian coal, which has a high ash content ranging from 30 to 45% and a substantial alumina-silica composition.
• Many global gasification technologies are unsuitable without adaptation for Indian coal.

Government Initiatives and Targets

• The government aims to gasify 100 million tonnes of coal by 2030.
• In 2024, an ₹8,500 crore viability gap funding scheme was launched to support coal and lignite gasification projects.
• Letters of award were issued to companies like Bharat Coal Gasification and Chemicals, Coal India, and others.

Importance of Coal Gasification

• Coal gasification can enhance energy security and self-reliance by reducing dependency on imports of natural gas and related products.
• It enables the conversion of coal into synthetic gas, which can be used for producing methanol, ammonium nitrate, synthetic natural gas, and fertilizers.