New Delhi: The Ministry of Coal announced on Wednesday that pilot underground coal gasification (UCG) projects will be exempted from seeking environmental clearance, a move aimed at ensuring faster implementation of the technology in India.
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The decision, announced as part of the launch of the 14th round of commercial coal mine auctions, underscores the government’s intent to accelerate coal gasification and promote cleaner coal utilisation through technological innovation, said the ministry. For the first time, the latest round of commercial coal mine auction features 21 coal mines with potential for underground coal gasification.
Explaining the framework, Coal Secretary Vikram Dev Dutt said the Ministry of Environment, Forest and Climate Change (MoEFCC) has agreed that pilot UCG projects will not require environmental clearance for the pilot phase. “It is part of the framework and for that pilot phase MoEFCC has kind of agreed to not have an EC (environment clearance) for the pilot phase only,” Dutt told reporters on the sidelines of the event.
He added that the 21 blocks on offer with UCG potential are blocks that have deep-seated coal seams and it is uneconomical to extract coal through conventional mining methods.
Launching the 14th round of commercial coal mine auctions in New Delhi, Union Minister of Coal G Kishan Reddy launched the round virtually, in the presence of Secretary Vikram Dev Dutt, Additional Secretaries Rupinder Brar and Sanoj Kumar Jha, senior ministry officials, and industry stakeholders.
So far, the government has auctioned 133 coal mines across 12 rounds, with a cumulative peak rated capacity of about 276 million tonnes per annum (MTPA). For the first time, provisions for UCG have been included in the auction process, reflecting the ministry’s push for cleaner and more efficient coal utilisation.
Under the 14th round, 41 coal mines have been offered — 20 fully explored and 21 partially explored — including five under the Coal Mines (Special Provisions) Act, 2015, and 36 under the Mines and Minerals (Development and Regulation) Act, 1957.
In his address, Reddy said the introduction of UCG in the auction process represents a defining moment in India’s quest for energy independence. Nearly 40 percent of India’s coal reserves lie deep underground, beyond the reach of conventional mining, he said, making UCG vital for sustainable resource utilisation.
He added that under Prime Minister Narendra Modi’s leadership, the coal sector has undergone a transformation “from reform to perform and from perform to transform,” fostering investment, enhancing production, and reducing import dependence.
The minister said the government is adopting a “whole-of-government approach” to accelerate coal gasification and called for greater collaboration between government, industry, and academia to advance UCG deployment.
At the same event, the minister launched two new digital platforms — the Koyla Shakti Dashboard and the Coal Land Acquisition, Management, and Payment (CLAMP) Portal — through video conference.
The Koyla Shakti Dashboard integrates the entire coal value chain from mine to market on a single digital platform, enabling real-time coordination among coal companies, railways, ports, and end-users to improve logistics and efficiency.
The CLAMP Portal serves as a unified digital solution for managing land acquisition, compensation, and rehabilitation and resettlement (R&R) processes, aimed at improving transparency and ease of doing business in the coal sector.
The Coal Secretary said that the ministry remains focused on deepening reforms, improving transparency, and leveraging digital tools to drive efficiency across the coal ecosystem. He said the government’s “Reform, Perform, and Transform” approach is enabling faster policy outcomes and greater private sector participation.
Additional Secretary Rupinder Brar said the strong response to the 13th round of coal mine auctions reflected investor confidence and the success of recent policy reforms. She added that the 14th round builds on these gains, integrating advanced technology and data-driven governance for sustainable and competitive operations.
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Additional Secretary Sanoj Kumar Jha emphasised that commercial mining remains central to ensuring energy security and achieving the goals of Aatmanirbhar Bharat. He said initiatives such as Koyla Shakti and CLAMP are ushering in a new era of transparency and accountability in the sector.
