India's Coal Sector Set for Transformation Through Gasification Initiatives
Coal gasification to trigger 'new revolution' in India's coal sector

Image: Asianet Newsable
Union Minister for Coal and Mines G Kishan Reddy announced that coal gasification will revolutionize India's coal sector, enhancing energy independence and reducing import costs of approximately ₹3 lakh crore annually. The government has allocated around ₹46,000 crore in incentives to foster a robust coal gasification ecosystem, aiming for strategic self-reliance and economic security.
- 01India spends nearly ₹3 lakh crore annually on imports related to coal gasification, highlighting the need for self-reliance.
- 02The government has approved incentives worth approximately ₹46,000 crore to support coal gasification projects.
- 03Coal gasification will impact sectors such as fertilizers, chemicals, and steel, strengthening India's industrial supply chains.
- 04India has over 450 billion tonnes of coal reserves, sufficient for the next 60-70 years, which can drive economic growth.
- 05States like Odisha and Telangana are already developing action plans to support coal gasification initiatives.
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Union Minister for Coal and Mines G Kishan Reddy emphasized that coal gasification is poised to initiate a 'new revolution' in India's coal sector, bolstering the nation's energy future and promoting industrial self-reliance. He highlighted the strategic importance of reducing dependence on coal-related imports, which currently cost India nearly ₹3 lakh crore annually. Reddy called on industry stakeholders to actively engage in establishing coal gasification projects, supported by government incentives totaling around ₹46,000 crore. These initiatives aim to enhance sectors such as fertilizers, chemicals, and steel, thereby strengthening India's economic security. Reddy noted that despite India's significant coal production, the country lags behind in coal gasification technologies compared to nations like China and Australia. He affirmed the government's commitment to fostering a robust coal gasification ecosystem, with states like Odisha and Telangana already formulating supportive policies. With over 450 billion tonnes of coal reserves, India has the potential to utilize these resources for substantial industrial development and job creation.
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The push for coal gasification is expected to significantly reduce import costs and enhance domestic production capabilities.
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