Union Budget 2022-23: Why CSE disagrees with government’s proposal on coal gasification

What is the News?

In the Union Budget 2022-23, the Union Finance Minister has announced four coal gasification-pilot projects will be set up. However, this announcement is contrary to the Centre for Science and Environment (CSE)’s assessment about the coal gasification process not being attractive from a climate change point of view.

What is Coal Gasification?

Coal gasification is a process in which coal is partially oxidised with air, oxygen, steam or carbon dioxide to form a fuel gas. This gas is then used instead of piped natural gas, methane and others for deriving energy.

China has the biggest number of coal gasification projects in the world. 5% of China’s total coal consumption is from its gasifier. The US also has some coal gasification plants running.

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Why is the Coal Gasification process not good from a climate change point of view?

Firstly, Coal gasification actually produces more carbon dioxide than a conventional coal-powered thermal power plant.

– According to CSE estimates, one unit of electricity generated by burning gasified coal generates 2.5 times more carbon dioxide than what would result when burning the coal directly.

Secondly, coal gasification plants are costlier than conventional power plants.

Thirdly, since coal is the main feed for gasification, it in no way helps India’s decarbonisation goals.

Source: This post is based on the article “Union Budget 2022-23: Why CSE disagrees with government’s proposal on coal gasification” published in Down To Earth on 4th February 2022.