Blue Hydrogen, ie hydrogen produced out of coal is set to gain prominence with rising price of natural gas. Currently, Gas Technology Institute (GTR) of the US and M N Dastur have agreements on technology. Dastur is also in talks with JSPL and Dalmia Cement Bharat for coal gasification, methanol derivatives and carbon dioxide to methanol projects. Coal remains the cheaper option to produce hydrogen at current cost of ₹ 110 while normal production of hydrogen will be ₹ 400 per kg.
Modern technology with carbon capture will be one of the green technology in energy generation in India.