India's expenditure finance committee has cleared a Rs 19,700 crore scheme to develop carbon capture, utilization, and storage (CCUS) technologies for large industrial sources like power plants, steel mills, and cement factories. The program aims to create 7 million tonnes per year of carbon capture capacity and attract around Rs 37,500 crore in total investment. A dedicated Rs 2,500 crore R&D fund will support technology innovation. The scheme, first announced in the FY27 budget, now needs Union Cabinet approval. It targets cutting-edge capture technologies and storage reservoir identification. While CCUS remains capital intensive today, costs are expected to fall with wider deployment. Commercial projects could connect via pipeline for uses like enhanced oil recovery and coal bed methane recovery.
