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Gasification / with No comments /

The Union Cabinet has approved a policy framework for development of Underground Coal Gasification (UCG) in unexplored coal and lignite bearing areas in the country.

• Decision in this regard was taken by Union Cabinet Committee meeting chaired by the Prime Minister Narendra Modi in New Delhi.

What is Underground Coal Gasification (UCG)?

• UCG is a clean coal extraction technology for extracting energy from the coal seams and lignite resources which cannot be mined through traditional mining technology.
• It is mainly an industrial process which converts coal into product gases such as methane, hydrogen, CO and CO2 that are combusted for electricity generation.
• The gasification process is carried out in non-mined coal seams using injection of oxidants which brings the product gas to surface through production wells drilled from the surface.

UCG Policy Framework

• The UCG policy framework has been framed in line with the existing policy for Coal Bed Methane (CBM) development on revenue sharing basis.
• Development of UCG has been envisaged to provide for energy security and will be adopted for offering the blocks through competitive bidding.
• Inter-Ministerial Committee under the Union Ministry of Coal with members from concerned Ministries will be responsible for identification of the areas.
• Central Mine Planning and Design Institute Limited (CMPDIL) will be the nodal agency for all business related proposals and regulations.