Alvarez & Marsal report outlines barriers to India’s 100 MT coal gasification target
India’s goal to gasify 100 million tonnes of coal by 2030 faces hurdles requiring streamlined regulatory approvals and guaranteed offtake agreements.
Professional services firm Alvarez & Marsal (A&M) has released a report highlighting the structural requirements for India to reach its goal of gasifying 100 million tonnes of coal by 2030. The initiative involves approximately 25 projects with projected investments between ₹2.5 and ₹3 trillion. A&M suggests that success depends less on coal availability and more on regulatory and commercial execution.
Despite holding substantial coal reserves, India imports the majority of its methanol, natural gas, and urea. To bridge this gap, A&M recommends a single statutory window for project approvals to reduce development lead times. The firm further notes that long-term offtake agreements are essential to ensure the projects remain bankable for investors.
Kunwar Vijayant Singh, Managing Director at A&M India, stated that transitioning from isolated pilot projects to an integrated value chain requires reliable utilities and technology specifically tailored to India's high-ash coal. The report concludes that coordinated policy action is necessary to minimize reliance on imports and meet the government's industrial development targets.