The Ministry of Coal has clarified that reports suggesting the scheme has not attracted any applications are premature. The first-round deadline for submission of applications is 7 September 2026.
On 5th September 2026, the Ministry of Coal, through the Press Information Bureau, issued a statement to clarify reports appearing in certain sections of the press regarding the status of the ₹37,500 crore Scheme for Promotion of Surface Coal/Lignite Gasification Projects. The Ministry stated that such reports are premature and do not reflect the actual position.
The Scheme was approved by the Union Cabinet on 13 May 2026 with a total financial outlay of ₹37,500 crore. Its objective is to accelerate the development of coal and lignite gasification in India and promote the conversion of domestic resources into higher-value products such as syngas, methanol, ammonia, and urea.
To encourage participation from potential project developers, the Ministry undertook sustained outreach and stakeholder engagement through roadshows in New Delhi, Hyderabad, and Mumbai between May and June 2026. A pre-application conference was also held on 20 July 2026 to address queries and provide clarifications regarding various provisions of the Scheme.
The Request for Proposal under the Scheme was issued on 7 July 2026, followed by the launch of an online portal for application submission. Although the number of applications received in the first round cannot be assessed conclusively as the application window remains open until 7 September 2026, Talcher Fertilisers Limited (TFL) and NTPC Limited have already submitted their respective applications through the online portal.
The Ministry reiterates that the Scheme is at an early stage of implementation and should not be characterized as having received 'no takers' at an interim stage. Its success and level of participation should be assessed after completion of the prescribed application process and subsequent rounds.
Source:
Press Information Bureau
