Bengal Coal-to-Gas Project Gets Green Light as CGIL Hunts Global Tech

A major coal-to-gas project in West Bengal has gained momentum as Coal Gas India Ltd (CGIL) begins its search for global technology to help it get off the ground. The proposed surface coal gasification project, which will produce synthetic natural gas (SNG), is a joint venture between Coal India Ltd and GAIL worth Rs 13,052 crore.

According to officials, a three-member CGIL team led by Director Peeyush Kumar recently completed a field survey of the proposed site in Raniganj Coalfields. The site was deemed suitable for the project, which will produce 633.66 million cubic metres of SNG annually over its 25-year operational life.

The Centre has approved Rs 1,350 crore as Viability Gap Funding to de-risk the initial capital investment and promote domestic synthetic gas production. Construction and commissioning are expected to take five years after the selection of the L-1 bidder.

GAIL's official website notes that India has long relied on direct coal combustion for energy production, but rising concerns over air pollution and carbon emissions have led to a shift towards coal gasification.