Database / India / 2026

India Union Budget 2026: CCUS Incentive Scheme

Incentive Active Verified

Union Budget 2026-27 (February 1, 2026, Finance Minister speech para 38) earmarked ₹20,000 crore over five years for CCUS, aligning with the December 2025 DST R&D roadmap: at-scale technologies to higher readiness across power, steel, cement, refineries and chemicals. The approach is explicitly R&D-led, not deployment-first — ₹500 crore initial allotment to the Power Ministry, five CCU testbeds in cement (NCCBM/JK, IIT-Kanpur/JSW, IIT-Bombay/Dalmia, CSIR-IIP/IIT-Tirupati/IISc/JSW, IIT-Madras/BITS-UltraTech) via PPP, indigenous technology, centres of excellence, shared infrastructure, with CBAM exposure as the commercial driver. VGF-style support survives from 2024 mission signals as anticipated mechanism language, but the budgeted reality is testbeds plus research — the honest read is R&D runway, not deployment subsidy.

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Operational Cap 0.0 Mtpa
Under Construction Cap 0.0 Mtpa
Planned Cap 1.3 Mtpa

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