India Targets Major Coal Gasification Expansion; Projects Worth ₹65,000 Crore Underway

India's coal gasification programme is gaining momentum, with projects worth more than ₹65,000 crore already being implemented across the country.  

As per PIB report, the update was shared by Coal Secretary Vikram Dev Dutt, highlighting the transition of the initiative from policy planning to on-ground execution. 

Incentive Schemes Drive Project Pipeline 

According to Coal Secretary Vikram Dev Dutt, the ₹8,500 crore incentive scheme approved in January 2024 has received a strong response. Under the programme 8 projects backed by ₹6,233 crore in incentives are already under implementation. 

These projects cover a broad range of applications, including coal-to-synthetic natural gas, ethanol, hydrogen, acetic acid, ammonium nitrate, direct reduced iron-based steel and sustainable aviation fuel.  

The figures were presented during the third stakeholder roadshow on the Scheme for Promotion of Surface Coal and Lignite Gasification Projects held in Mumbai. 

Maharashtra Emerges as Key Hub 

Union Coal Minister G Kishan Reddy said Maharashtra has become an important centre for coal gasification, with 5 projects currently under development.  

He attributed the state's position to coal availability through Western Coalfields Ltd, along with supportive infrastructure and policies. 

Maharashtra Chief Minister Devendra Fadnavis noted that Mumbai's association with coal gasification dates back to 1862 and said the state remains committed to creating an investment-friendly environment for the sector. 

Long-Term Investment Target 

Alongside the existing incentive programme, the Centre is advancing a separate ₹37,500 crore scheme and is finalising the request for proposal after stakeholder consultations.  

The government expects coal gasification initiatives to attract ₹2.5 trillion to ₹3 trillion in investments across nearly 25 projects, with a target of gasifying 100 million tonnes of coal by 2030. 

Read More: India Plans ₹12,000 Crore Boost for Local Battery Components Manufacturing! 

Conclusion 

Coal gasification projects exceeding ₹65,000 crore are now under execution in India, supported by incentive programmes and an expanding project pipeline spanning multiple industrial applications and states. 

Want to read stock market updates in Hindi? Angel One News gives comprehensive share market news in Hindi.  

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.  

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.