Union Minister for Coal and Mines G Kishan Reddy said coal gasification will play a decisive role in strengthening India’s energy security, reducing import dependence and accelerating industrial growth, while addressing stakeholders at Bharat Electricity Summit 2026.
Speaking to a diverse gathering of industry leaders, policymakers, researchers, start-ups and students, G Kishan Reddy emphasised that India’s rapidly expanding economy requires a carefully balanced energy strategy that aligns economic development with environmental sustainability. He noted that the country is witnessing sustained growth across manufacturing, infrastructure, digital connectivity and innovation, necessitating a reliable and diversified energy mix.
Highlighting India’s energy landscape, the Minister said the country possesses nearly 400 billion tonnes of coal reserves, placing it among the largest globally. Coal continues to play a dominant role in the national energy framework, accounting for approximately 55 percent of the overall energy mix and nearly 74 percent of electricity generation. With current annual coal demand at around one billion tonnes and projected to rise significantly by 2047, he underscored that coal will remain a critical component of India’s energy security even as the country pursues its commitment to achieving Net Zero emissions by 2070.
G Kishan Reddy identified coal gasification as a transformative technology that enables cleaner and more efficient utilisation of domestic coal resources. He explained that the process converts coal into synthesis gas, or syngas, which can be further processed into cleaner fuels, hydrogen, methanol, fertilizers and a range of chemical products. This conversion pathway, he said, not only enhances value addition within the domestic economy but also reduces environmental impact compared to conventional coal usage.
The Minister drew attention to India’s significant dependence on energy imports, stating that the country currently imports about 83 percent of its crude oil requirements, around 50 percent of natural gas and over 90 percent of methanol and fertilizers. He said this import reliance poses both economic and strategic challenges, making the development of indigenous alternatives such as coal gasification essential for long-term resilience and self-reliance.
Outlining the Government’s policy push, G Kishan Reddy highlighted the National Coal Gasification Mission, which aims to achieve 100 million tonnes of coal gasification by 2030. To support this target, the Government has introduced an incentive framework of ₹8,500 crore designed to catalyse investments and encourage both public and private sector participation. He noted that several large-scale projects are already in progress, with investment commitments exceeding ₹64,000 crore, indicating strong industry confidence in the sector.
He also pointed to the potential of advanced technologies such as Underground Coal Gasification, which enables extraction and conversion of coal reserves that are otherwise difficult to mine. This approach, he said, can unlock additional domestic resources while reducing surface environmental disruption, contributing to more sustainable resource utilisation.
Emphasising the multi-sectoral nature of coal gasification, the Minister said the technology has applications across power generation, oil and gas, fertilizers, petrochemicals and clean energy systems. He called for the creation of an integrated ecosystem involving industry, academia, research institutions and start-ups to drive innovation, technology development and efficient implementation.
G Kishan Reddy reiterated the Government’s commitment to providing a conducive policy environment through streamlined approvals, regulatory support and financial incentives. He urged stakeholders to actively participate in the emerging ecosystem, noting that early adoption and innovation will be key to establishing India as a global leader in clean coal technologies.
He concluded by expressing confidence that with coordinated efforts, indigenous technological advancement and sustained investment, coal gasification can significantly contribute to India’s goals of energy security, industrial expansion, environmental sustainability and economic self-reliance.
