Environment & EcologyArticle 11 of 13

Rs 19,700-crore carbon capture (CCUS) scheme clears a key approval

Saturday, 20 June 2026· 5 min read·Source: The Economic Times

India's proposed Rs 19,700-crore Carbon Capture, Utilisation and Storage (CCUS) scheme has received a key approval, according to a report on June 20, 2026, with the next step being clearance by the Union Cabinet. The scheme is expected to attract investments of about Rs 37,500 crore and create carbon-capture capacity of around 7 million tonnes per year. CCUS technology captures carbon dioxide (CO2) emissions from industries such as steel, cement and power, and either stores them underground or reuses them, helping hard-to-abate sectors cut emissions in line with India's climate goals.

Key Facts & Details

8 points

1
The CCUS scheme has an outlay of about Rs 19,700 crore and cleared a key approval (June 20, 2026).
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It is expected to attract investment of around Rs 37,500 crore.
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It aims to build carbon-capture capacity of about 7 million tonnes per year.
4
CCUS captures CO2 from industries like steel, cement and power for storage or reuse.
5
The next step is approval by the Union Cabinet.

Deep Dive

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CCUS targets 'hard-to-abate' sectors where emissions are difficult to cut by other means.
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Captured CO2 can be stored in geological formations or used to make fuels and chemicals.
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The scheme supports India's pledge to reach net-zero emissions by 2070.

Exam Focus

What is the outlay of the carbon capture (CCUS) scheme that cleared a key approval in June 2026?

Exam Relevance & Angle

Named schemes with specific outlays and capacity figures, plus climate-tech terms like CCUS and net-zero, are high-yield environment-and-economy topics for banking, SSC and UPSC current-affairs sections.

Target Exams

SBI POIBPS PORBI Grade BNABARD Grade ASSC CGLUPSC CSEState PCS

Background & Context

Carbon Capture, Utilisation and Storage (CCUS) is a set of technologies that trap carbon dioxide released by industrial processes and power generation, then either store it permanently in underground geological formations or convert it into useful products such as fuels, chemicals and building materials. It is considered essential for decarbonising 'hard-to-abate' sectors — steel, cement, fertiliser and refining — where emissions cannot be easily eliminated through renewable energy alone. India has committed to reaching net-zero emissions by 2070 under its climate strategy, and large public schemes are intended to de-risk early investment and build domestic CCUS capacity. Final approval for such Central schemes typically rests with the Union Cabinet or the Cabinet Committee on Economic Affairs.