India Approves ₹37,500 Crore Coal Gasification Scheme to Cut Imports

The government says the program could reduce reliance on imported LNG (liquefied natural gas), methanol, and ammonia by 2030 while saving up to ₹90,000 crore a year.

Summary

India has approved a ₹37,500 crore coal gasification scheme aimed at reducing imports of LNG (liquefied natural gas), methanol, and ammonia by 2030. According to the announcement, the program is expected to save up to ₹90,000 crore per year in import costs. Coal gasification (turning coal into gas for industrial use) is typically used to produce chemicals and fuel feedstocks, and the plan appears designed to strengthen domestic supply chains and lower dependence on overseas energy and industrial inputs.

Terms & Concepts
  • Coal gasification: A process that converts coal into synthesis gas for industrial use or chemical production.
  • LNG (liquefied natural gas): Natural gas cooled into liquid form for easier storage and transport.
  • Import costs: The expenses a country pays to bring goods or fuels from abroad.