Budget 2026–27 Proposes Rs 20,000 Crore Push For Carbon Capture Technologies

New Delhi, Feb 1 (KNN) Presenting her ninth consecutive Budget in the Lok Sabha, Finance Minister Nirmala Sitharaman on Sunday unveiled a series of initiatives aimed at advancing India’s climate and industrial transition.

Aligning with the Carbon Capture, Utilisation and Storage (CCUS) roadmap launched in December 2025, the Union Budget 2026–27 proposes scaling up CCUS technologies across key industrial sectors.

The initiative seeks to enhance technology readiness and deployment in end-use applications across five sectors—power, steel, cement, refineries, and chemicals.

An outlay of Rs 20,000 crore over the next five years has been proposed to support the development and adoption of CCUS solutions at scale, reinforcing India’s efforts towards industrial decarbonisation and its long-term climate commitments.

"The Rs 20,000 crore allocation for CCUS encourages low‑carbon technology adoption in hard‑to‑abate sectors," said Sheetal Sharad, Chief Ratings Officer, ICRA ESG Ratings.

(KNN Bureau)