New Delhi [India], May 28 : Coal gasification will trigger a "new revolution" in India's coal sector and strengthen the country's energy future and industrial self-reliance, Union Minister for Coal and Mines G Kishan Reddy said on Thursday.
"After all the work and initiatives taken in the coal sector over decades, a new revolution in India's coal sector is now going to begin through coal gasification," Reddy said while addressing a roadshow on coal gasification attended by industry leaders, startups, researchers, PSUs and state government representatives.
He urged commercial coal miners and public sector companies to leverage existing land, mining infrastructure, road connectivity and power connectivity for setting up coal gasification projects more rapidly.
Referring to geopolitical tensions and disruptions in global supply chains, Reddy said India currently spends nearly Rs 3 lakh crore annually on imports of products linked to coal gasification and stressed that reducing import dependence has become strategically important.
He said coal gasification can help reduce imports in sectors such as fertilisers, chemicals, petrochemicals, hydrogen, steel and transport fuels, while strengthening India's industrial supply chains and economic security.
"Coal gasification is not merely an energy issue. It is linked to India's strategic industrial self-reliance, economic security and the vision of Viksit Bharat by 2047," he said.
Calling upon investors and industry stakeholders to participate actively, Reddy said the government was ready to move forward "step by step" with the private sector to build a strong coal gasification ecosystem in the country.
Despite India's strong position in coal production, the minister said the country remains far behind nations such as China, Australia and several African countries in coal gasification technologies and capabilities.
"Coal gasification is the need of the hour for the country," he said, adding that the Centre is encouraging companies to bring advanced technologies from abroad and has assured industry that there would be no policy hurdles in adopting global technologies.
Highlighting the government's push for the sector, Reddy said the Centre has approved incentives worth around Rs 46,000 crore to support coal gasification projects and build a strong domestic ecosystem.
"The scheme has not been brought to increase government revenue. We have brought this scheme for the country, for national interest and for the future of the country," he said.
The minister said Odisha and Telangana have already presented action plans for coal gasification-related initiatives, while discussions are underway with several other states to introduce supportive policies and incentives.
Reddy said the Ministry of Coal prepared a detailed action plan and incentive framework within two weeks of Cabinet approval, reflecting the government's urgency and commitment towards reforms and industrial expansion.
The minister highlighted that Narendra Modi government has introduced several reforms in the coal sector since 2014, transforming the sector from one associated with "negative headlines" into a sector driven by reforms, transparency and constructive growth.
"Before 2014, whenever coal sector news appeared on front pages or as breaking news, it was mostly negative news. But after 2014, under Prime Minister Narendra Modi's leadership, positive initiatives and reforms have been introduced in this sector," he said.
Reddy said India currently has coal reserves of more than 450 billion tonnes, which are sufficient for the next 60-70 years, and stressed that the country must fully utilise these resources for industrial development, economic growth and employment generation.
Presently, the county has mined coal for 81 days. So there is nothing to worry about it, he said on the sidelines of the event.