# Industry seeks assured offtake for coal gasification projects 2026-08-27T12:35:55+00:00 | Governance | Indian Opinion Desk Corroboration: 1 independent outlet The energy industry is seeking assured offtake commitments from the government for coal gasification projects, arguing that viability gap funding alone may not be enough to unlock investments. Executives said putting in Rs 10,000 crore without a guaranteed market makes the arithmetic unworkable. The government has rolled out a Rs 37,500 crore incentive scheme to scale up coal gasification and build a coal-to-chemicals ecosystem. The scheme offers up to 20% of plant and machinery cost, but industry says capital subsidy does not address demand and market risks. Industry is also seeking freight support or land allocation near mine heads and ports to lower logistics costs. The Talcher fertiliser project in Odisha has highlighted execution challenges for such projects. ## Indian Opinion Analysis Coal gasification has been a policy priority for years, but India has little commercial-scale capacity. The Talcher fertiliser project, a joint venture between public-sector firms, was meant to be a flagship but has faced repeated delays and cost overruns. The new Rs 37,500 crore scheme is the government's largest single push, but past experience shows that capital incentives alone do not guarantee a viable project if downstream demand is uncertain. Developers are asking for the same kind of offtake guarantees that thermal power plants once received under power purchase agreements. The Ministry of Coal is expected to finalise scheme guidelines in the coming months, and the key signal will be whether it includes any mandatory offtake or pricing support. ## Coverage - energy.economictimes.indiatimes.com Straight news report on industry demands, no slant. This brief was synthesised by AI from the source linked above. Tags: coal gasification, Coal Ministry, Talcher fertiliser project, viability gap funding Canonical: https://indianopinion.org/industry-seeks-assured-offtake-for-coal-gasification-projects/ License: Summary and commentary (c) Indian Opinion, reusable with attribution. Facts belong to the linked sources. Cite: https://indianopinion.org/industry-seeks-assured-offtake-for-coal-gasification-projects/#story-in-brief Review state: restored archive article, accurate at time of publication, not offered to search indexes. How this brief was made: an AI model read the report linked above and wrote this summary and analysis, which were published automatically. Published briefs are sampled every hour by an automated quality check; the editor verifies its findings and approves corrections, and corrected briefs carry a dated correction line. We do no original reporting. Methodology: https://indianopinion.org/ai-use-policy/