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India Considers Incentives for Carbon Capture Technology in FY27 Budget

CARBON CAPTURE

India's government is exploring incentives for carbon capture, utilisation, and storage (CCUS) in the FY27 Budget to reduce emissions from power, steel, and cement sectors. The CCUS program, with a total size of ₹38,900 crore, aims to be implemented in phases, supported by approximately ₹19,500 crore from the government.

The technology, crucial for India's net-zero emissions target by 2070, is expected to help decarbonise hard-to-abate sectors. India aims to reduce carbon emissions intensity by 50% by 2050 while planning to add 105 gigawatts of coal-based capacity by 2035.

India Considers Incentives for Carbon Capture Technology in FY27 Budget
Jan 21, 2026, 12:38 PM··

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