Coal Gasification Crucial for Energy Security, Industrial Growth: G. Kishan Reddy
New Delhi, Mar 22 (BNP): G. Kishan Reddy on Sunday said coal gasification will play a pivotal role in strengthening India’s energy security, reducing import dependence and supporting industrial growth, while addressing the Bharat Electricity Summit 2026.
Speaking to industry leaders, experts, start-ups, researchers and policymakers, the minister said India’s rapidly expanding economy requires a balanced energy strategy that aligns growth with sustainability. He noted that under the leadership of Narendra Modi, the country is witnessing strong progress across manufacturing, infrastructure, digital connectivity and innovation.

Highlighting India’s vast coal reserves of nearly 400 billion tonnes—among the largest globally—Reddy said coal currently accounts for about 55 per cent of the country’s energy mix and nearly 74 per cent of electricity generation. With annual demand at around one billion tonnes and expected to rise significantly by 2047, he underlined the continued importance of coal even as India pursues its Net Zero emissions target by 2070.
Describing coal gasification as a transformative technology, the minister said it converts coal into syngas, which can be used to produce cleaner fuels, chemicals, fertilisers and hydrogen, enabling more efficient and sustainable utilisation of domestic resources. He also pointed to India’s heavy dependence on imports, including crude oil, natural gas, methanol and fertilisers, stressing the need to enhance energy self-reliance.
Reddy said the government has launched the National Coal Gasification Mission with a target of achieving 100 million tonnes of gasification by 2030. An incentive scheme worth ₹8,500 crore has been introduced to support projects across the public and private sectors, with investments exceeding ₹64,000 crore already in the pipeline.
He also highlighted advanced technologies such as Underground Coal Gasification (UCG) for their potential to utilise otherwise inaccessible reserves while reducing environmental impact.
Calling for greater collaboration among industry, academia, start-ups and research institutions, the minister said coal gasification spans multiple sectors, including power, oil and gas, and fertilisers. He reaffirmed the government’s commitment to facilitating investments through supportive policies, streamlined approvals and incentives.
Expressing confidence in India’s capabilities, Reddy said the country is well-positioned to emerge as a global leader in clean coal technologies while advancing energy security, sustainability, and self-reliance.
