Coal Gasification Key to India's Long-Term Energy Security: Reddy

• Reddy said coal gasification is vital for India’s long-term energy security and foreign exchange savings.

• He said India aims to gasify 100 million tonnes of coal by 2030 under the National Coal Gasification Mission.

• The minister said the move can create new industrial value chains across fertilisers, steel, chemicals, transport and clean energy.

Coal gasification is crucial for India's long-term energy security and help the country reduce dependence on imports, Union coal and Mines Minister G Kishan Reddy said on Thursday.

Speaking at a roadshow on the central government's scheme for the promotion of surface coal/lignite gasification projects in the financial capital, the minister said that investments in gasification projects would enable the domestic production of syngas, methanol, hydrogen, ethanol, urea, and sustainable aviation fuel, among others.

These products, which are currently imported in significant quantities, can increasingly be manufactured domestically through coal gasification, resulting in substantial foreign exchange savings, reduced import dependence and the creation of new industrial value chains across sectors, including fertilisers, steel, chemicals, transport and clean energy, the minister added.

The roadshow was attended by Maharashtra Chief Minister Devendra Fadnavis, Satish Chandra Dubey, Minister of State for Coal and Mines, Vikram Dev Dutt, Secretary, Ministry of Coal, along with senior officers of the ministry, representatives of Coal sector public sector enterprises, industry leaders, technology providers, investors and other stakeholders.

The Union minister said that the country has the world's fifth-largest coal reserves of over 400 billion tonnes, and the potential to convert its abundant coal resources into high-value products that can transform the country's industrial landscape.

India is the world's second-largest producer and consumer of coal, and Coal India Limited is the largest coal-producing company globally, he said, adding that the Gevra mine in Chhattisgarh is one of the world's largest coal mines.

India's 70% electricity demand is met through coal, which contributes nearly 55% of the country's energy mix, he said, adding that the government is firmly committed to achieving the net-zero target by 2070 through cleaner and more efficient utilisation of domestic coal resources.

Referring to the National Coal Gasification Mission, Reddy said the government has set an ambitious target of gasifying 100 million tonnes of coal by 2030, and expressed confidence that the government's incentive scheme would catalyse large-scale investments, accelerate technology adoption and establish India as a global leader in coal gasification.

He further said that the draft Request for Proposal (RFP) has been placed in the public domain for stakeholder consultations and suggestions, and feedback to further strengthen the implementation framework.

Stating that India is entering a new era of coal gasification powered by modern technologies, Maharashtra chief minister emphasised that Atmanirbhar Bharat is the pathway to Viksit Bharat, while energy security is fundamental to India's growth and resilience.

Excessive dependence on imports makes the country vulnerable to global geopolitical developments and supply chain disruptions, Fadnavis said and invited investors and industry leaders to the state.