The Ministry of Coal has invited proposals from public and private sector participants for coal gasification projects as part of the Rs 8,500 crore Viability Gap Funding (VGF) scheme. Viability Gap Funding (VGF) is a financing mechanism used to support projects that are economically justified but are not financially viable.
Coal Gasification
- Coal gasification is a process that converts coal into synthetic gas (syngas), a mixture of gases such as carbon monoxide (CO), hydrogen (H2), carbon dioxide (CO2), methane (CH4) and water vapor (H2O).
- Coal is reacted with controlled amounts of oxygen and steam at high temperatures (typically 1,000-1,400°C).
- Syngas can be used to produce a wide range of fertilizers, fuels, solvents and synthetic materials.
The process is as follows
- Formation: Coal is converted into a fine powder to increase its surface area and enhance chemical reactions during the process.
- Gasification reactor: Coal in the form of fine powder is put into a high temperature and high pressure reactor with limited oxygen or air and steam.
- Chemical reactions: In the absence of sufficient oxygen for complete combustion, coal undergoes a series of complex chemical reactions.
- These reactions convert the molecules of coal into the components of synthetic gas.
- Gas cleaning: The raw synthetic gas produced from the reactor contains impurities such as tar, sulfur and dust. These impurities need to be removed through a gas cleaning process before the synthetic gas can be used further.
Advantages of coal gasification
- Cleaner alternative to coal combustion: Coal gasification is a cleaner way to burn coal for power. It captures the pollutants before using the gas for power generation.
- Synthetic Gas Uses: The synthetic gas produced can be used for a variety of purposes, including power generation, production of clean fuels such as hydrogen, and production of chemicals such as ammonia and methanol.