New Delhi: India has achieved a historic milestone by producing one billion tonnes of coal in the last financial year, marking a major step towards strengthening the country’s energy security. The record production reflects steady growth in coal output over recent years, driven by policy reforms, infrastructure improvements, and initiatives under the leadership of Prime Minister Narendra Modi.
Domestic Coal Reserves Ensure Stable Supply
Union Coal Minister G. Kishan Reddy informed the Lok Sabha that India now ranks as the world’s second-largest producer and consumer of coal, with the fifth-largest coal reserves globally. Domestic coal reserves are sufficient to meet the country’s energy needs for the next seven years, ensuring a stable supply for key industries.
The government has implemented several reforms over the past decade to streamline coal production, distribution, and mining operations. According to Minister Reddy, these reforms have played a critical role in achieving the one-billion-tonne production milestone for 2024-25.
Coal Gasification Mission to Reduce Import Dependence
Building on this progress, the government is now emphasizing coal gasification, a technology-driven approach for cleaner and more efficient utilization of coal. Coal gasification will help reduce India’s dependence on imported fuels and raw materials such as crude oil, ammonia, coking coal, aviation fuel, and urea.
Minister Reddy stated that the Coal Gasification Mission aims to achieve 100 million tonnes by 2030. In a first, underground coal gasification blocks have been auctioned, with 21 coal mines identified for this purpose. The initiative promises to provide a cleaner method of coal usage while reducing reliance on imports, supporting India’s goal of self-reliance and sustainable energy utilization.
Strategic Implications
The push for coal gasification aligns with India’s broader energy strategy, combining technological innovation with environmental considerations. By tapping into domestic coal reserves more efficiently, India aims to reduce import bills, stabilize energy supply, and enhance overall energy security across industrial, power, and chemical sectors.
About India’s Coal Sector
India is one of the largest coal producers and consumers globally. The country has implemented reforms to modernize mining operations, increase domestic production, and ensure uninterrupted coal supply for power, steel, cement, and fertilizer sectors. With coal gasification initiatives and underground mining projects, India is also exploring cleaner and more sustainable pathways for coal utilization in line with national energy and climate goals.
