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EconomyThe Hindu9 June 2026
Centre bets big on coal gasification; targets Rs 4 lakh cr investment
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๐ Summary:
- The Union Ministry of Coal and Mines outlined an ambitious coal gasification push targeting Rs 4 lakh crore of investment
- Aims to save around Rs 3 lakh crore in foreign exchange and generate employment for nearly 1 lakh people
- Centre is prioritising both surface and underground coal gasification to reduce import dependence
- Process unlocks high-value by-products such as ammonia, methanol, hydrogen, fertilisers, chemicals and petrochemicals (announced by Union Minister G. Kishan Reddy)
๐ฏ UPSC Relevance: GS3 (economy โ infrastructure, energy security, import substitution; environment โ cleaner use of coal) โ diversifying coal use beyond power towards chemicals and reducing the fertiliser/petrochemical import bill.
๐ Prelims Facts:
- Coal gasification converts coal into syngas (a mix of CO and H2), which can yield methanol, ammonia, hydrogen and synthetic fuels
- Underground Coal Gasification (UCG) converts coal in-situ without mining it
- Nodal ministry: Ministry of Coal and Mines
๐ Key Term: Syngas (synthesis gas) โ a fuel-gas mixture chiefly of hydrogen and carbon monoxide produced by gasifying carbon-rich feedstock such as coal.
coal gasificationsyngasenergy securityimport substitution
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