India's Coal Ministry Promotes ₹460 Billion Coal Gasification Plan at Hyderabad Roadshow
2026-06-16 09:22
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en.Wedoany.com Reported - The Ministry of Coal held a roadshow in Hyderabad, focusing on promoting coal and lignite gasification projects, positioning this sector as a core pillar of the country's energy transition, industrial expansion, and import substitution strategy. Senior government officials, industry leaders, investors, technology providers, financial institutions, and representatives from multiple states gathered to discuss pathways to unlock investment opportunities and accelerate the large-scale implementation of India's coal gasification industry.

Union Minister of Coal and Mines, G. Kishan Reddy, chaired the roadshow, joined by Minister of State Satish Chandra Dubey and senior ministry officials. Reddy noted that India possesses nearly 400 billion tonnes of coal reserves, is the world's second-largest coal producer and consumer, with about 70% of its electricity still dependent on coal. The abundant resources and growing energy demand provide a strategic foundation for coal gasification. He described coal gasification as a fundamental shift in India's resource utilization approach, emphasizing: "We have abundant coal, policy support, and commitment. Coal gasification will become a new driver for industrial growth and 'Atmanirbhar Bharat' (Self-Reliant India)."

Reddy also highlighted India's heavy reliance on imported methanol, ammonia, fertilizers, and key industrial chemicals, stating that coal gasification can convert domestic coal into high-value-added products, thereby significantly reducing foreign exchange outflows. He revealed that a draft Request for Proposal (RFP) has been released for stakeholder feedback as part of a "transparent and consultative" process. The Minister also mentioned the Cabinet-approved ₹460 billion coal and lignite gasification scheme, stating that it aims to boost investor confidence and expand industrial capacity.

Minister of State Satish Chandra Dubey stated that a nation capable of producing its own fuels, fertilizers, and chemicals is better positioned to ensure long-term energy security and economic resilience, with coal gasification being key to building a "Self-Reliant India." He explained that the ₹375 billion "Scheme for Promotion of Surface Coal and Lignite Gasification Projects" reflects the government's determination to utilize coal resources in a more efficient, sustainable, and value-added manner. Dubey believes this initiative will attract investment, create jobs, and help India become a developed nation by 2047, transforming coal gasification into a "powerful engine of growth, innovation, and self-reliance."

Coal Secretary Vikram Dev Dutt emphasized that coal is a strategic asset for India, and coal gasification can reduce dependence on expensive imported fuels and industrial inputs. He confirmed that the draft RFP has been released to solicit industry feedback, urging: "The opportunity is unprecedented. The need is urgent. The support is generous. The RFP is in your hands."

The roadshow detailed the draft RFP, covering eligibility requirements, bidding processes, incentives, coal linkages, and project timelines. Organizations such as Bharat Heavy Electricals Limited (BHEL) and the Central Institute of Mining and Fuel Research (CIMFR) showcased indigenous gasification technologies, while several states shared their respective investment incentive policies and project opportunities. During an interactive Q&A session, stakeholders raised questions on financing, technology partnerships, coal supply, approvals, environmental clearances, and infrastructure needs, with officials providing answers, and investors and industry participants showing keen interest.

In its summary, the Ministry of Coal reiterated that coal gasification will be a strategic pillar for India's industrial and energy future. Under the vision of achieving self-reliance and becoming a developed nation, this pathway helps reduce imports, promote domestic manufacturing, create jobs, and strengthen energy security.

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