Coal India, BPCL plan JV for coal gasification in Maharashtra

• BPCL-CIL MoU for coal gasification JV in Maharashtra  
• Targets syngas production from domestic coal
• Aims to cut LNG imports; aligns with 100MT goal by 2030

Bharat​‍​‌‍​‍‌​‍​‌‍​‍‌ Petroleum Corporation Limited (BPCL) signed a Memorandum of Understanding (MoU) with Coal India Limited (CIL) to form a joint venture that will develop a coal gasification project in Maharashtra. It is a significant step in the production of synthetic natural gas (syngas) from domestic coal materials. The project is planned to be the first step to India’s energy security, which in turn would reduce the dependence on the import of liquefied natural gas (LNG), and utilize the country’s plentiful coal reserves for cleaner fuel alternatives.

The JV will take a deep look at the viability of establishing a surface coal gasification plant. It will use advanced technologies to convert high-ash Indian coal into syngas—which can be used as a feedstock for fertilizers, chemicals, and power generation. BPCL will provide the downstream refining and gas marketing expertise, whereas CIL will be responsible for the coal mining and supply.

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The project is in line with the national objectives of gasifying 100 million tonnes of coal by 2030, thus encouraging local production and reducing the country's import bills during the times of unstable global energy prices. G Krishnakumar, Director (Refineries) of BPCL, highlighted the synergy the following way: "This partnership with Coal India will unlock the potential of coal gasification, supporting India's transition to a gas-based economy with sustainable, affordable energy solutions."

Additionally, the partnership is looking into carbon capture and utilization as a means of reducing the environmental impact. The proposed plant in Maharashtra might be the first step toward integrated energy hubs that can generate employment, technological development, and regional industrial growth. By doing this, the public sector undertakings are reinforcing the role of the Atmanirbhar Bharat vision in the creation of self-reliant energy infrastructure. ​‍​‌‍​‍‌​‍​‌‍