He added that coal continues to play a dominant role in India's energy mix, accounting for nearly 73–74 per cent of electricity generation.

Rs 64,000 Crore Boost: Govt to Launch 7 Coal Gasification Projects to Cut Imports

India is set to roll out seven coal gasification projects with an estimated investment of Rs 64,000 crore across Maharashtra, Odisha and West Bengal, Union Minister G. Kishan Reddy informed the Rajya Sabha on Monday.

The proposed projects are aimed at reducing dependence on energy imports by converting coal into synthesis gas, which can be further processed into products such as methanol, ammonia, urea, hydrogen, synthetic natural gas and liquid fuels. The Centre is extending support to accelerate these initiatives.

Of the seven projects, four are planned in Maharashtra, two in Odisha and one in West Bengal. The minister said groundwork has already begun for four of them, indicating early-stage progress on implementation.

Highlighting the broader push in the coal sector, Reddy said reforms over the past decade have focused on transparent auction-based allocation of coal blocks, with no major complaints reported. He added that coal continues to play a dominant role in India’s energy mix, accounting for nearly 73–74 per cent of electricity generation.

India is currently the second-largest producer and consumer of coal globally, with the fifth-largest reserves, expected to last around 70 years. The government is also expanding exploration activities to strengthen long-term supply.

Separately, under the commercial coal mining policy, 131 blocks have been allocated, with production already commencing in 12 blocks as of February 2026.