Step 1: Identify alkali formate.
Alkali formate is \(HCOONa\) or \(HCOOK\).
Step 2: Understand soda lime.
Soda lime is a mixture of NaOH and CaO.
It is generally used for decarboxylation.
Step 3: Reaction of alkali formate with NaOH (soda lime).
When heated, alkali formate decomposes giving hydrogen gas:
\[
HCOONa + NaOH \xrightarrow{\Delta} Na_2CO_3 + H_2
\]
Step 4: Conclusion.
Thus the gas evolved is hydrogen.
Final Answer:
\[
\boxed{\text{(C) Hydrogen}}
\]