Date:13/03/2008 URL: http://www.thehindu.com/2008/03/13/stories/2008031356271700.htm

Business

Tata-Sasol CTL project may get the go-ahead

Special Correspondent

Consortium asked to spell out the technology roadmap

NEW DELHI: The Central Government is likely to give its go-ahead for the allocation of coal blocks for the proposed Tata-Sasol project that aims at converting coal into liquid fuel.

The consortium has been asked to spell out the technology roadmap for this innovative venture.

Sasol, a leading South African company, had decided to enter the Indian market and joined hands with the Tatas to introduce this cost-effective new technology.

The move is aimed at enhancing the country’s energy security as India has a huge stockpile of coal, while it remains dependent on imports for liquid fuels.

Official sources said an inter-ministerial group headed by the Planning Commission member (Energy), Kirit Parekh, had already asked the Tata-Sasol joint venture to set out the technology roadmap.

The coal-to-liquid (CTL) concept got a major impetus when the three-member Investment Commission, headed by Ratan Tata, recommended CTL as a feasible technology for India.

Sources said assessments indicated that though there was a loss of energy in the conversion process, the loss was made up in energy terms.