# India coal gasification industry development

> Live situation record from CLSTR: https://clstr.news/situations/india-coal-gasification-industry-development
> Updated: 2026-09-07T14:04:24.000Z. Sources: 7. Developments: 2.

India is advancing efforts to enhance energy security and reduce import dependency through coal gasification initiatives. 

In August 2026, Reliance Industries proposed a ₹2.73 lakh crore investment to develop an integrated underground coal gasification (UCG) complex in Andhra Pradesh. The 30-year project aims to convert deep coal reserves into synthesis gas (syngas) for use in chemicals and fertilizers, with initial exploration and pilot testing planned for late 2026 and 2027.

Following this, the Ministry of Coal reported receiving seven initial applications for its ₹37,500 crore scheme to promote surface coal and lignite gasification. Major applicants include Adani Enterprises, NTPC, Gallantt Ispat, Shyam Sel & Power, and Talcher Fertilisers. The Ministry noted that participation from large industrial houses and public sector undertakings serves as a “clear vote of confidence” in the national mission to produce high-value products such as methanol, ammonia, urea, and hydrogen.

## Timeline

### 2026-09-07: India's coal gasification scheme receives seven initial applications

Seven companies, including Adani Enterprises and NTPC, have applied for India's Rs 37,500 crore coal gasification scheme to boost domestic production of urea, syngas, and synthetic natural gas.

5 sources. https://clstr.news/cluster/indias-coal-gasification-scheme-receives-seven-initial-applications

### 2026-08-20: Reliance Industries proposes ₹2.73 lakh crore coal project in Andhra Pradesh

Reliance Industries proposes a ₹2.73 lakh crore underground coal gasification project in Andhra Pradesh to convert deep coal reserves into syngas for industrial use.

2 sources. https://clstr.news/cluster/reliance-industries-proposes-273-lakh-crore-coal-project-in-andhra-pradesh

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Cite as: India coal gasification industry development. CLSTR, https://clstr.news/situations/india-coal-gasification-industry-development
