Lok Sabha Question No. 141 (STARRED), answered on 2025-12-10
Subject: Progress under Coal Gasification Mission
Ministry: COAL
Asked by: Shri Chandra Prakash Choudhary, Shri Devusinh Chauhan

## GOVERNMENT OF INDIA MINISTRY OF COAL LOK SABHA STARRED QUESTION NO. *141 TO BE ANSWERED ON 10.12.2025

## Progress Under Coal Gasification Mission

## *141.   Shri Chandra Prakash Choudhary: Shri Devusinh Chauhan:

Will the Minister of COAL be pleased to state:

(a) the details of the total domestic coal production achieved during the year 2024-25 and the projected targets for the year 2030;

(b) the progress made under the Coal Gasification Mission and Mission Green Coal Regions towards ensuring cleaner coal utilisation and environmental reclamation;

(c) the extent of renewable energy capacity developed by Coal Public Sector Undertakings (PSUs) and the targets set for the year 2030; and

(d) the manner in which these initiatives are contributing towards the twin goals of energy security and green growth in line with the vision of Viksit Bharat @2047?

## ANSWER

## MINISTER OF COAL AND MINES (SHRI G. KISHAN REDDY)

(a) to (d): A Statement is laid on the table of the House.

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Statement referred to in reply to part (a) to (d) of Lok Sabha Starred Question No. *141 for answer on 10.12.2025 asked by Shri Chandra Prakash Choudhary and Shri Devusinh Chauhan regarding Progress Under Coal Gasification Mission:

(a): The total domestic coal production during financial year 2024-2025 is 1047.523 MT. The domestic coal production plan in the country till 2029-30 is as under:

## [Figures in Million Tonnes]

|           | Annual Target   | Projection Plan   | Projection Plan   | Projection Plan   | Projection Plan   |
|-----------|-----------------|-------------------|-------------------|-------------------|-------------------|
| Year      | 2025-26         | 2026-27           | 2027-28           | 2028-29           | 2029-30           |
| All India | 1157.00         | 1310.80           | 1378.14           | 1449.75           | 1533.04           |

(b): Significant  progress  has  been  made  under  the  National  Coal  Gasification  Mission, which targets the gasification and liquefaction of 100 MT of coal by 2030. The Government has undertaken a wide range of policy, regulatory, and financial interventions to accelerate project  development,  reduce  investment  risks,  and  expand  both  public  and  private  sector participation. The key progress achieved under the Mission is summarised below:

- i. In  commercial  coal  block  auctions,  provision  has  been  made  for  a  50%  rebate  in revenue share for the coal used for gasification purposes, provided the coal quantity used for gasification is at least 10% of total coal production.
- ii. A new Sub-sector, 'Production of Syngas leading to coal gasification,' was created in 2022 under the Non-Regulated Sector (NRS) linkage auctions.
- iii. On  24.01.2024,  the  Government  approved  an  outlay  of  ₹8,500  crore  as  financial assistance to promote both government and private-sector participation in setting up coal and lignite gasification projects.
- a. The request for proposal (RFP) for the scheme was published on 15.05.2024, under which  seven  projects  are  currently  being  implemented  and  are  expected  to  be commissioned by FY 2030.
- b. In addition to the above, the RFPs for the second round of financial incentives, under Category II and III have been published on 30.09.2025.
- iv. On 16.12.2024, coal supply was enabled for gasification projects under NRS linkage auction  with  a  floor  price  at  the  notified  price  of  the  Regulated  sector,  for  coal gasification projects commissioning within the next 7 years.
- v. Additional incentives were introduced for Underground (UG) mining, which shall be applicable to Underground Coal Gasification.
- vi. DPIIT has  granted  registration  to  a  foreign  company  enabling  their  participation  in public procurement in India as a licensor and EPC contractor for the CGIL Project to expedite coal gasification in India.

Under Mission GREEN (Grow, Restore, Enrich and Empower Nature) Coal Regions, Coal and Lignite  Public  Sector  Undertakings  (PSUs),  namely  Coal  India  Limited  (CIL),  NLC  India Limited  (NLCIL)  and  Singareni  Collieries  Company  Limited  (SCCL),  have  undertaken activities aimed at environmental restoration in coal and lignite mining regions. As part of these efforts, approximately 2967 hectares (total 13401 hectare since FY 2019-20) of land has been brought under plantation in and around mining areas and 3 eco-parks (total 20 eco parks since

FY 2019-20) for recreational purpose established during FY 2025-26 (up to October) under the  Mission  by  these  PSUs.  These  activities  contribute  towards  improving  the ecological condition of post-mining and adjacent landscapes.

(c): The extent of renewable energy capacity developed by coal PSUs and the plan for the year 2030 are as under:

- i. CIL has set a target of installing 9437 MW of Renewable Energy (Solar power capacity) by FY 2029-30, out of which installed capacity is 210 MW.
- ii. NLCIL has planned to establish 10,110 MW of Renewable Energy capacity by 2030, out of which the commissioned capacity is 1589 MW.
- iii. SCCL  has  planned  to  establish  504.50  MW  of  Renewable  Energy  (Solar  power capacity) by 2030, out of which the commissioned capacity is 245.50 MW.

(d): The development of renewable energy projects, coal gasification and Mission Green would significantly  contribute  towards  energy  security  in  a  sustainable  manner.  Coal  gasification ensures  removal  of  SOx,  NOx  and  dust  particulate  in  air  due  to  burning  of  coal.  Coal gasification facilitates utilization of the chemical properties of coal and is usable in producing downstream  products  such  as  Synthetic  Natural  Gas,  Methanol  &  Ethanol,  Ammonia, Ammonium  Nitrate  etc  which  will  help  in  import  substitution  and  moving  towards  selfsufficiency.

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