Alvarez & Marsal (A&M) today launched its report, Coal Gasification for ‘Atmanirbhar Bharat’: Shaping the Next Industrial Revolution, at the Gasification Summit in Delhi, in the presence of Hon’ble Union Minister of Coal and Mines Shri G. Kishan Reddy. The report finds that India’s target of gasifying 100 million tonnes of coal by 2030, for which the Ministry of Coal projects ₹2.5–3 lakh crore of investment across around 25 projects, will depend on more than access to coal. The target will hinge on how quickly projects are approved, whether they secure assured buyers, and how well they are executed.
India holds the world’s fifth-largest coal reserves, yet remains heavily dependent on imports of methanol, natural gas and fertilizers. Gasification offers a route to convert that coal into these products, but commercial viability, technology access and project execution remain the hurdles. To clear them, the report calls for a single statutory window with fixed timelines and deemed approval, long-term offtake agreements to make projects bankable, and tighter execution across utilities, contractors and technology fit, drawing on lessons from China and the Talcher coal-to-urea project.
Unveiling the report, Balasaheb Darade, Managing Director, New Era Cleantech, said, “Coal gasification is an important part of India’s effort to reduce import dependence and build a self-reliant industrial base. Perspectives such as this report, which look squarely at what it will take to move from intent to implementation, are a valuable contribution as we work towards the 2030 target. The industry will immensely benefit from synergistic alignment across different bodies to make the target achievable.”
Kunwar Vijayant Singh, Managing Director and Co-Lead, Energy and Resources, Alvarez & Marsal India, said, “India has the coal and the demand. Whether we reach the 100 million tonne target will depend on how quickly projects can be approved, whether they have assured buyers, and whether they are executed with reliable utilities, accountable contractors and technology suited to Indian coal. Coordinated action on these fronts can move gasification from isolated projects to an integrated value chain.”
Key findings of the report
- India has the coal but imports the products: India holds the world’s fifth-largest coal reserves, yet imports met about 94% of its methanol consumption and about 50% of its natural gas consumption in FY25. In FY26, natural gas imports were worth about ₹1.18 lakh crore and urea imports about ₹46,000 crore.
- Coordinated approvals can accelerate delivery: Gasification projects need clearances from several authorities. Building on precedents such as PM Gati Shakti, the report suggests a single statutory window with fixed timelines and deemed approval to help projects move faster from approval to implementation.
- Assured buyers make projects bankable: The report points to long-term offtake models, such as India’s ethanol programme and the Great Plains plant in the US, and notes that Coal India will take the ammonium nitrate output of Bharat Coal Gasification and Chemicals Limited’s Lakhanpur project for use in mine blasting.
- Execution lessons from Talcher: The Talcher coal-to-urea project in Odisha was 72.56% complete as of June 2026. The report points to reliable utilities, technology tailored to Indian coal and contractor accountability as lessons for future projects.
- Technology, hubs and safeguards: The report calls for R&D and pilot funding to adapt gasifiers to high-ash Indian coal, integrated industrial hubs with shared infrastructure, and environmental safeguards built into project design.
The report concludes that, with the right policy and commercial enablers in place, coal gasification can move from isolated projects to an integrated value chain and make a meaningful contribution to India’s Atmanirbhar Bharat ambitions.
Marex Media
Release By Edelman