The government of India is set to launch a Carbon Capture, Utilisation and Storage (CCUS) mission soon, offering incentives ranging from 50 percent to 100 percent to encourage the adoption of carbon capture technologies. This initiative aims to balance the country’s rising energy demand with its climate goals while continuing to rely significantly on coal.
Speaking at the 17th India Coal Summit organized by the Indian Chamber of Commerce (ICC), Rajnath Ram, Advisor (Energy) at NITI Aayog, stated, “We are going to launch the CCUS mission very soon, where… incentives like 100 percent government funding will be provided to some of the technology. The incentives may range from 50 percent to 100 percent.” He added that these incentives will help industries integrate carbon capture solutions with coal-based energy systems.
CCUS technology captures carbon dioxide emissions at their source from industrial plants and power stations before they enter the atmosphere. The captured CO2 is then either utilized in products like fuels and chemicals or permanently stored underground in geological formations such as depleted oil and gas reservoirs or saline aquifers.
Rajnath Ram also highlighted that India’s economic growth will drive higher energy demand, requiring an increase in energy supply. Although coal remains a primary energy source, efforts to integrate renewable energy continue, with CCUS playing a crucial role in offsetting emissions from fossil-fuel-based power.
With coal accounting for over 70 percent of India’s electricity demand, NITI Aayog emphasizes CCUS as a key technology in the country’s roadmap to achieve its net-zero emissions target by 2070, providing sustainable solutions for heavy-emitting sectors.
This mission marks a significant step for India in addressing climate change while safeguarding energy security amid continuing reliance on coal.
