The Government has implemented various measures to encourage the adoption of clean coal technologies:
To boost Surface Coal Gasification (SCG) in the country, a 50% rebate in revenue share has been introduced for all future commercial coal block auctions. This rebate applies to coal utilized specifically for gasification purposes, provided it accounts for at least 10% of the total coal production. A dedicated auction window under the NRS sector has been established to supply coal for new coal gasification plants. Multiple coal gasification projects are underway, including the construction of an integrated coal gasification-based urea plant by Talcher Fertilizer Ltd, targeting an annual production of 1.27 Million Metric Tonnes of neem-coated Urea.
Pre-feasibility reports have been drafted to establish Coal Gasification projects in Eastern Coalfields Limited (ECL), Mahanadi Coalfields Limited (MCL), and NLC India Limited (NLCIL). Tenders have been floated for the selection of an agency to construct and operate the NLCIL project.
The Government notified the Underground Coal Gasification (UCG) Policy in September 2016 to facilitate UCG development, maximizing the utilization of difficult-to-mine coal and lignite resources while advancing Clean Coal Technologies.
Since 1997, the Government has had a Coal Bed Methane (CBM) policy in place for CBM development. MoPNG, in consultation with MoC, has identified and offered CBM Blocks from coal-bearing areas. Additionally, Coal India Limited (CIL) and its subsidiaries were granted exploration and exploitation rights for CBM from coal-bearing areas where they possess mining leases.
Furthermore, the Government promotes the beneficiation of coking coal in the country by establishing coal washeries.
There isn’t a specific concept to estimate Clean Coal Reserves. However, as of April 1, 2023, the total coal resource in the country amounts to 3,78,207.28 Mt.
MoPNG launched CBM bidding rounds I to IV between 2001 and 2008, resulting in 8 Blocks operating in the Production/Development phase, covering a total area of 2430 sq. km. In 2021, the Government initiated the Special CBM Bid Round (SCBM-21) and allocated 4 CBM Blocks covering approximately 3860 sq. km. Presently, there are 12 active CBM Blocks, 5 in the production phase, 3 in development, and 4 (awarded during SCBM-21) undergoing exploration. The total prognosticated CBM resource of these 12 active CBM Blocks is approximately 480 BCM, with 6.13 BCM CBM produced up to October 2023. This information was provided by Union Minister of Coal, Mines, and Parliamentary Affairs, Shri Pralhad Joshi, in a written reply in Lok Sabha.