← Concept Library · International Relations
International Relations GS 2 In the news 4 times

Coal as a Transitional Energy Source and Energy Mix Strategy

As the LPG crisis deepened, coal emerged as a substitute fuel for industry, power generation, and some commercial establishments. India's coal sector — dominated by Coal India Limited (CIL) — holds strategic importance as the backbone of India's electricity generation.

Key details
  • India is the world's second-largest producer and consumer of coal; Coal India Limited (CIL) accounts for approximately 80% of domestic coal production.
  • India maintained approximately 210 million metric tonnes of coal stock as of March 2026, providing about 88 days of supply coverage.
  • The Coal Ministry's National Coal Gasification Mission targets 100 million tonnes of coal gasified annually by 2030, producing methanol, ammonia, and synthetic gas as LPG substitutes.
  • The government earmarked ₹3,525 crore in 2026-27 for coal and lignite gasification — the largest single component of the Coal Ministry's central sector spending.
  • Coal gasification converts coal to syngas (CO + H₂), which can be used for power, fertiliser production, and potentially as a cooking fuel substitute.
In the news

Tracked since March 11, 2026 · last seen March 11, 2026 · updates as the daily brief publishes

Related concepts
See it in today’s brief. Daily current affairs with every static concept explained in place.
Read the daily brief