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Question

Q. With reference to Coal Gasification and Urea Subsidy, consider the following statements:

Select the correct answer using the codes given below:


A
1 only
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B
1 and 2 only
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C
1 and 3 only
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D
1, 2 and 3
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Solution

The correct option is C 1 and 3 only

Explanation:

  • Statement 1 is correct: The Government has approved starting a coal gasification unit for the production of urea and ammonia. The Union Cabinet approved a scheme for providing subsidy for the production of urea through coal gasification worth Rs. 13,000 crore. The decision is geared towards reducing India’s reliance on imports and helping the country meet its CoP-21 Paris Agreement commitments.
  • Statement 2 is incorrect: The Cabinet Committee on Economic Affairs approved a subsidy for urea to be produced by state-run Talcher Fertilizers (TFL) and not by the GAIL India Ltd., at its soon-to-be-commissioned Odisha facility. Talcher Fertilizers is a joint venture of Coal India, GAIL (India), Rashtriya Chemicals and Fertilizers and Fertilizer Corporation of India.
  • Statement 3 is correct: The project will give a boost to 'Make in India' initiative and AtmaNirbhar' campaign and would help development of infrastructure like roads, railways water, etc. providing a major boost to the economy in the eastern part of the country including promoting ancillary industry. The project will also provide new business opportunities in form of ancillary industries in the catchment area of the project. Talcher plant shall also reduce dependence on important Natural Gas for the production of urea leading to reduction in LNG import bill.

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