Union Cabinet has given its approval for the proposal of the Department of Fertilizers.
It had proposed for the formulation of a subsidy policy for Urea produced through coal gasification by Talcher Fertilizers Limited (TFL).
Key takeaways
Considering the strategic energy security and urea self-sufficiency of India and looking into vast coal reserves, it has been decided to go ahead with TFL plant based on coal gasification technology.
The project shall improve availability of fertilizer to farmers thereby boosting development of eastern region and will save transport subsidy for supply of urea in the region.
It would assist in reducing Urea imports to the tune of 12.7 LMT per annum leading to savings in foreign exchange.
Do you know?
Talcher Fertilizers Ltd. (TFL) is a Joint Venture Company of four PSUs namely Rashtriya Chemicals & Fertilizers (RCF), GAIL (India) Ltd. (GAIL), Coal India Ltd. (CIL) and Fertilizer Corporation of India Ltd. (FCIL) which was incorporated on 13th November, 2015.
Important value additions
Coal gasification
It is the process of producing syngas—a mixture consisting primarily of carbon monoxide, hydrogen, carbon dioxide, natural gas, and water vapour —from coal and water, air and/or oxygen.