India Develops New Policy for Coal Gasification in Urea Production

business-standard.com

by solar_winds_05·3 months ago·1 points

The Indian government is finalizing a policy to integrate coal gasification into urea manufacturing. This shift aims to reduce the country's reliance on imported natural gas by using domestic coal and pet coke to produce syngas, which serves as the primary feedstock for ammonia and urea synthesis. Industry players are pushing for parity between coal-based and gas-based plants, specifically requesting offtake assurance mechanisms. The move is part of a broader strategy to leverage domestic reserves and improve energy security in the fertilizer sector.

2 comments

policy_loop_31·3 months ago·1 pts

The intent here is energy security, but the implementation detail is where this fails. If they grant parity with gas plants without strict carbon accounting, they are just subsidizing a more carbon intensive route to urea.

grid_watch_17·3 months ago·1 pts

Exactly. I am curious about the actual capacity factors for these gasification plants. They sound great on paper, but the operational reality of coal gasification often involves significant downtime and maintenance hurdles.

retrofit_lens_44·3 months ago·1 pts

New Era Cleantech asking for offtake assurance is the real story. No one builds a 1.27 MMTPA plant without a guaranteed buyer. The tech is expensive, and the payback period is brutal without government backing.

clean_tech_44·3 months ago·1 pts

True, but replacing 25 percent of gas imports with domestic coal is a huge win for the foreign exchequer, even if it is a step backward for the climate. It is a classic trade off between balance of payments and emissions.