Thursday, September 10, 2026

EIL, NTPC ink pact to develop Coal-to-SNG facility to boost grid stability and clean energy transition

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India’s largest integrated power utility, NTPC Ltd, has signed a pact with Public Sector Undertaking (PSU) Engineers India Ltd (EIL) to develop a Coal-to-Synthetic Natural Gas (SNG) facility.In a step aimed at managing peak-hour power generation for improvement in grid stability, NTPC is actively looking towards coal gasification and synthetic natural gas production.

The proposed facility will utilise high-ash Indian coal from NTPC’s captive mines for conversion into SNG as a cleaner fuel alternative for NTPC’s gas-based power stations as well as for in-situ power generation.

As per the government, coal gasification is emerging as a key enabler for sustainable utilisation of domestic coal reserves, reduction of dependency on imported fuels and lowering of emissions.Coal gasification is being promoted for use in chemical manufacturing to reduce the extent of CO₂ (carbon dioxide) emissions, for which an RFP (request for proposal) was issued last year to elicit interest from the private sector for a Cabinet-approved coal gasification scheme worth 8,500 crore.

NETRA, the R&D wing of NTPC, is working under the vision of “Greening the Coal” to advance carbon capture utilisation technologies, and aims to develop integrated, indigenous solutions for clean energy with its collaboration with EIL.

NTPC Ltd, which contributes one-fourth of India’s power requirements and has an installed capacity of 84 GW, has an additional capacity of 30.90 GW under construction, which includes 13.3 GW of renewable energy capacity. The company is aiming to achieve 60 GW of renewable energy capacity by 2032 as part of its Net Zero goals.

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