The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, has given approval for the proposal of the Department of Fertilizers for formulation of exclusive subsidy policy for urea produced through coal gasification route by Talcher Fertilizers (TFL).
The project will improve availability of fertiliser to farmers, thereby boosting development of eastern region and save transport subsidy for supply of urea in eastern part of the country. It will assist in reducing urea imports to the tune of 12.7 lakh tpa leading to savings in foreign exchange.
The project will also give a boost to Make in India initiative and Atmanirbhar campaign and help development of infrastructure such as roads, railways water, etc providing major boost to economy in the eastern part of the country, including promoting ancillary industry.
The project will also provide new business opportunity in form of ancillary industries in the catchment area of the project. Talcher plant will also reduce dependence on important natural gas for production of urea leading to reduction in LNG import bill.
The gasification process adopted in Talcher unit is a clean coal technology giving negligible SOx, NOx and free particulate emissions as compared to directly coal-fired processes.
Talcher Fertilizers (TFL) is a joint venture company of four PSUs namely Rashtriya Chemicals & Fertilizers (RCF), GAIL (India) (GAIL), Coal India (CIL) and the Fertilizer Corporation of India (FCIL) which was incorporated on 13 November 2015.
TFL is reviving the erstwhile Talcher plant of the Fertilizer Corporation of India (FCIL) by setting up a new greenfield urea plant with the installed capacity of 12.7 lakh tpa. The estimated project cost of TFL urea project is around Rs 13,277.21 crore