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Government Allocates Rs 8,500 Crore For Eco-Friendly Coal-to-Gas Projects

Updated: Jan 25, 2024 04:39:44pm
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Government Allocates Rs 8,500 Crore For Eco-Friendly Coal-to-Gas Projects

New Delhi, Jan 25 (KNN) In a significant move towards sustainable energy practices, the government approved Rs 8,500 crore as viability gap funding for coal-to-gas projects on Thursday.

This decision aims to harness the vast coal reserves in the country, providing an alternative method to fuel economic growth with a reduced carbon footprint.

Coal Minister Pralhad Joshi, in a statement following the Cabinet's decision, highlighted the importance of adopting coal-to-gas technology to diminish the country's reliance on imported natural gas, methanol, ammonia, and other vital industrial products, as reported by TOI.

He mentioned that a collaborative project between Coal India Ltd and GAIL is expected to be operational within the next five years.

Joshi emphasised the environmental benefits of coal-to-gas technology, stating that the country's proven coal reserves are sufficient for over 100 years, with ongoing exploration in more areas.

The use of Syngas (coal gas) is considered less polluting than traditional coal burning and can be employed in the production of various other products.

The government is setting ambitious targets, aiming to gasify 100 million tonnes of coal by 2030.

Syngas, obtained in liquid form through the partial oxidation of coal with air, oxygen, steam, or carbon dioxide under controlled conditions, can be utilised as fuel in gas-fired power stations or be processed into methanol, a versatile industrial solvent.

This move aligns with the broader global trend towards cleaner energy sources and signifies a crucial step in India's commitment to sustainable development.

The funding injection is expected to pave the way for innovative projects that leverage the country's abundant coal resources while mitigating environmental impact.

(KNN Bureau)

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