Archive · 1 Feb 2026
India Allocates Rs 20,000 Crore for Carbon Capture Tech
The Indian government has decided to spend Rs 20,000 crore over the next five years on a special technology called Carbon Capture Utilisation and Storage (CCUS).
This technology helps to reduce the amount of carbon dioxide, a gas that contributes to global warming, released into the atmosphere.
The idea is to either store this gas underground or use it in products like concrete or chemicals.
The government believes this technology is important for reducing emissions from industries like power plants, steel, and cement, which are hard to decarbonize.
However, some experts are worried that this technology might be expensive and could slow down the shift to cleaner energy sources.
Despite these concerns, many industry representatives in India support the government's decision, seeing it as a crucial step towards sustainable development and economic growth.
India allocates Rs 20,000 crore for Carbon Capture Utilisation and Storage (CCUS) technology over five years.
CCUS aims to reduce atmospheric carbon dioxide emissions by capturing and storing or reusing it.
The technology is seen as a solution for industrial emissions and achieving net-zero emissions by 2070.
Critics argue that CCUS is costly, has limited operational projects, and may prolong fossil fuel use.
India's think tank, NITI Aayog, highlights the need for CCUS to meet baseload power demand and reduce emissions.
- Who
- Indian Government
- What
- Allocation of Rs 20,000 crore for CCUS technology
- When
- Over the next five years
- Where
- India
- Why
- To reduce carbon emissions and achieve net-zero by 2070
Proponents of CCUS
Critics of CCUS
Effectiveness and Necessity
Proponents of CCUS
CCUS is crucial for reducing industrial emissions and achieving net-zero targets, especially in sectors where electrification alone is insufficient.
Critics of CCUS
CCUS is costly, has limited operational projects, and may prolong the use of fossil fuels, potentially delaying the transition to renewable energy.
- Funding Amount
- Rs 20,000 crore
- Duration
- 5 years
- Technology
- Carbon Capture Utilisation and Storage (CCUS)
- Global Operational Projects
- 50 (2023)
- Annual CO2 Captured Globally
- 50 million metric tonnes
- India's Net-Zero Target
- 2070
- India's CO2 Emission Reduction Target
- Halve by 2050
- Industrial Sectors Targeted
- Power, steel, cement, refineries, chemicals
Sources
Union Budget | Rs 20,000 cr for Carbon Capture Utilisation and Storage tech: How it works, and the push for it
Budget 2026: Govt proposes spending ₹20,000 cr on CCUS to check emissions in hard-to-abate sectors
What is CCUS technology and why did Sitharaman push for a Rs 20,000 crore investment?
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