Ministry of Coal pushes coal gasification as “new engine of growth” at Hyderabad roadshow

By: ICN Bureau

Last updated : June 15, 2026 9:49 am



Secretary Vikram Dev Dutt emphasized that India’s coal endowment is a strategic asset and said gasification can reduce dependence on costly imports of fuels and industrial inputs


The Ministry of Coal has concluded a high-profile roadshow in Hyderabad showcasing coal and lignite gasification projects, positioning the sector as a central pillar of India’s energy transition, industrial expansion, and import substitution strategy.
 
The event brought together top government officials, industry leaders, investors, technology providers, financial institutions, and state representatives, all focused on unlocking investment opportunities and accelerating large-scale coal gasification in India.
 
The roadshow was led by Union Minister of Coal and Mines G. Kishan Reddy, with Minister of State Satish Chandra Dubey, senior bureaucrats, and ministry officials in attendance.
 
Speaking at the event, G. Kishan Reddy underlined India’s vast coal wealth and rising energy demand, noting the country’s nearly 400 billion tonnes of reserves and its position as the world’s second-largest coal producer and consumer. He stressed that coal remains central to India’s energy system, with around 70% of electricity still dependent on it.
 
He pitched coal gasification as a strategic shift in how India uses its resources, saying: "We have coal in abundance, we have policy support, and we have commitment. Coal gasification will become a new driver of industrial growth and Atmanirbhar Bharat."
 
Reddy also pointed to India’s heavy reliance on imports of methanol, ammonia, fertilizers, and key industrial chemicals, arguing that gasification could convert domestic coal into high-value products and significantly cut foreign exchange outflows. He added that the draft RFP has been placed in the public domain to invite stakeholder feedback as part of a “transparent and consultative” rollout.
 
The Minister also highlighted the Rs. 46,000 crore Cabinet-approved scheme for coal and lignite gasification, calling it a major reform initiative aimed at boosting investor confidence and expanding industrial capacity.
 
Minister of State Satish Chandra Dubey described coal gasification as essential to building a self-reliant India, saying a country that produces its own fuels, fertilizers, and chemicals is better positioned for long-term energy security and economic resilience.
 
He said: "The Rs. 37,500 crore Scheme for Promotion of Surface Coal and Lignite Gasification Projects reflects the Government’s strong commitment to harnessing India’s abundant coal resources in a more efficient, sustainable, and value-added manner.”
 
Dubey added that the initiative would attract investment, generate jobs, and support India’s vision of becoming a developed nation by 2047, stating that coal gasification could transform coal into a “powerful engine of growth, innovation, and self-reliance.”
 
Secretary Vikram Dev Dutt emphasized that India’s coal endowment is a strategic asset and said gasification can reduce dependence on costly imports of fuels and industrial inputs. He also confirmed that the draft RFP has been released for industry feedback.
 
He said: "The opportunity is unprecedented. The need is urgent. The support is generous. The RFP is in your hands”
 
The roadshow featured detailed presentations on the draft RFP covering eligibility, bidding process, incentives, coal linkage, and project timelines. Institutions including BHEL and CIMFR showcased indigenous gasification technologies, while several states presented investment incentives and project opportunities.
 
An interactive Q&A session saw stakeholders raise questions on financing, technology partnerships, coal availability, approvals, environmental clearances, and infrastructure needs. Officials provided clarifications, with strong interest reported from investors and industry participants.
 
The Ministry concluded by reaffirming its commitment to coal gasification as a strategic pillar of India’s industrial and energy future, framing it as a pathway to reduce imports, boost domestic manufacturing, create jobs, and strengthen energy security under the broader vision of a self-reliant and developed India.

Ministry of Coal coal gasification methanol ammonia fertilizers industrial chemicals

First Published : June 15, 2026 12:00 am