NTPC Submits 2 Applications Under ₹37,500 Crore Coal Gasification Scheme

NTPC Limited has submitted two applications for coal gasification projects under the second round of the Centre's ₹37,500 crore scheme, as per a PIB announcement.  

One application is for producing urea, while the other proposes the production of methanol and dimethyl ether (DME). The company has not disclosed the proposed investment, location or production capacity of either project. 

The Ministry of Coal confirmed that both applications came from NTPC when it announced the closure of the second round.  

Details of the Government Scheme 

The Union Cabinet approved the Scheme for Promotion of Surface Coal/Lignite Gasification Projects on 13 May 2026. It has a total financial allocation of ₹37,500 crore. 

The scheme covers projects that convert surface coal and lignite into gas for further use in manufacturing. This gas can be processed into products such as fertilisers and chemicals. NTPC's proposals cover three such products: urea, methanol and DME. 

The government is looking to increase the use of India's coal and lignite resources in industrial production through the scheme. 

Third Round Opens for Applications 

The second round has now concluded, and the Ministry of Coal has opened the third round from 10 November 2026. Companies eligible under the scheme can submit their applications until 11 January 2027. 

The ministry is inviting proposals in successive rounds to attract investment and encourage more companies to undertake coal and lignite gasification projects. 

Government's 2030 Target 

The government aims to establish 100 million tonnes of coal gasification capacity by 2030. The ₹37,500-crore scheme is intended to support the development of projects towards this target. 

With NTPC submitting two applications in the second round, the ministry has moved on to the next phase of submissions. Eligible companies have until 11 January 2027 to apply. 

Read More: Waaree Energies Share Price in Focus; To Invest ₹15,000 Crore in Green Ammonia Project in Andhra Pradesh! 

NTPC Limited Share Price Performance  

As of November 11, 2026, 12:45 pm, NTPC share price was trading at ₹332.10, a 1.02% increase from the previous closing price. 

Conclusion 

With the second round concluded, NTPC has submitted proposals covering three industrial products. The Ministry of Coal has opened the next round, with applications accepted until January 11, 2027. 

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