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Coal gasification-based urea production to be economically viable once scaled: Centre

Centre says scaled-up coal gasification projects can make domestic urea production economically viable
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Coal gasification-based urea production to be economically viable once scaled: CentrePSU Watch
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New Delhi: Coal gasification-based urea production will be economically viable once scaled, offering an indigenous alternative to imported urea and ammonia, an official said on Thursday.

Speaking with reporters on the sidelines of an event organised by Ashoka Centre for a People Centric Energy Transition (ACPET) of Ashoka University and Chintan Research Foundation (CRF) here, coal additional secretary Rupinder Brar said, "We are heavily agrarian economy and urea is major part of the fertilizer and it adds a lot of value to the fertilizer chain and currently we do import urea and ammonia.

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"So this part will be all indigenous. So one is the availability and other is the fact that we don't have to depend on other countries for that. Our expectation is that as the projects scale up and looking at the kind of subsidy and support the government is giving, it will be viable."

Brar also called for indigenisation of gasification technology to suit Indian conditions.

Coal gasification-based urea manufacturing converts raw coal and pet coke into syngas (hydrogen and carbon monoxide) via high-temperature oxidation. This hydrogen is combined with nitrogen from the air to synthesise ammonia, which is then reacted with carbon dioxide to produce urea. It replaces natural gas as a feedstock, reducing import dependence.

The government is pushing for the diversification of feedstock sources for urea production to reduce reliance on imported natural gas, and leverage India's vast domestic coal reserves through cleaner gasification technologies.

In response to a question, she said the coal ministry is ready to ensure there are no coal shortages during the impending monsoon season. "The coal ministry is absolutely on top, and at every point in time, there has been no day when there is coal stock less than 22-23 days," she said.

An official had earlier said that the government was in the process of finalising a new policy for coal gasification-based urea manufacturing, aimed at boosting self-reliance and saving foreign exchange, given the country's heavy dependence on imported natural gas.

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"We are in the process of making our new policy for coal gasification-based urea manufacturing and are reaching towards that and within one month we will be ready for that," the official had said.

"Since it is assured government business and we are highly dependent upon natural gases and as 25 percent is imported from various countries that will be more beneficial for us in terms of self-reliance and foreign exchequer," he had said.

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