Ministry of Coal on Wednesday said it has sought feedback from interested government as well as private entities for establishment of coal gasification plants in the country. The ministry said it has issued three draft request for proposals (RFPs) for consultation on coal gasification scheme.
«Issued three draft RFPs to solicit feedback from interested government PSUs and private investors for the establishment of coal gasification plants in India,» it said in a statement.
The stakeholders can provide their feedback and suggestions until March 20, it said.
The Union Cabinet had earlier approved allocation of Rs 8,500 crore for incentives towards coal gasification projects, having three categories.
Draft RFPs have been issued separately for each of the three categories.
Category I of the scheme allocates Rs 4,050 crore to the PSUs to support up to 3 projects, offering a lump-sum grant of Rs 1,350 crore or 15 per cent of the capital expenditure, whichever is lower.
In Category II, Rs 3,850 crore is earmarked for both the private sector and PSUs, providing each project with a lump-sum grant of Rs 1,000 crore or 15 per cent of the capital expenditure.
Additionally, at least one project in this category will undergo a tariff-based bidding process.
Category III includes Rs 600 crore for demonstration projects and small-scale gasification plants, offering a lump-sum grant of Rs 100 crore or 15 per cent of the capital expenditure to entities with a minimum capex of Rs 100 crore and minimum production of 1,500 normal