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India earmarks Rs 37,500 crore for coal gasification as Iran crisis mounts energy pressure

The Indian government has approved a Rs 37,500 crore coal gasification mission to strengthen India’s energy security amid the volatile geopolitical situation arising from the conflict in West Asia.

The Indian government has approved a Rs 37,500 crore coal gasification mission to strengthen India’s energy security amid the volatile geopolitical situation arising from the conflict in West Asia, Union Minister Ashwini Vaishnaw said on Wednesday.

Speaking at the Cabinet briefing, Vaishnaw said that India has enough coal reserves to meet demand for around 200 years, and coal gasification technology would help convert this resource into useful fuel.

The process of coal gasification converts coal into syngas (synthetic gas), which can be used for power generation, fertiliser manufacturing, refinery products and as an LPG equivalent.

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Vaishnaw said that the mission would play an important role in achieving “energy aatmanirbharta” by reducing dependence on imported fuel and improving long-term energy security.

The government believes the move will also support industrial growth and help India better handle global energy disruptions caused by conflicts and supply uncertainties.

First Published:
May 13, 2026, 15:31 IST

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