GOVERNMENT OF INDIA
MINISTRY OF COAL
LOK SABHA
UNSTARRED QUESTION NO. 556
ANSWERED ON 22/07/2026
COAL GASIFICATION PROJECTS IN ODISHA
556. SHRI PRADEEP PUROHIT:
Will the Minister of COAL be pleased to state?
(a) whether the Government has recently inaugurated/launched the Coal Gasification
Project and the Thermal Power Project at Jharsuguda in Odisha and if so, the details thereof;
(b) the total...
GOVERNMENT OF INDIA MINISTRY OF COAL LOK SABHA UNSTARRED QUESTION NO. 556 ANSWERED ON 22/07/2026 COAL GASIFICATION PROJECTS IN ODISHA
556. SHRI PRADEEP PUROHIT:
Will the Minister of COAL be pleased to state?
(a) whether the Government has recently inaugurated/launched the Coal Gasification Project and the Thermal Power Project at Jharsuguda in Odisha and if so, the details thereof;
(b) the total approved project cost, present status and the scheduled timeline for completion of each of the above projects;
(c) the scope of work under these projects along with the names of the implementing agencies, EPC contractors and other executing organisations involved; and
(d) the estimated direct and indirect employment likely to be generated during construction and operation, indicating the number of skilled, semi-skilled and unskilled workers proposed to be engaged along with the expected employment opportunities for local youth? ANSWER MINISTER OF STATE FOR COAL AND MINES (SHRI SATISH CHANDRA DUBEY)
(a): Foundation stone for coal gasification-based Ammonium Nitrate Project at Lakhanpur, Jharsuguda, Odisha as well as for Stage-II expansion project, 2x660 MW, IB thermal power station has been laid by the Hon'ble President of India and the Hon'ble Prime Minister of India on 20.06.2026. Bharat Coal Gasification and Chemicals Limited (BCGCL), a joint venture of Coal India Limited (CIL) and Bharat Heavy Electricals Limited (BHEL), is the project proponent of Coal Gasification Project while Odisha Power Generation Corporation Limited
(OPGC) is the project proponent for thermal power project. The location of coal gasification project is Lakhanpur while that of thermal power project is Banaharpalli in Jharsuguda district.
(b): The approved cost of the coal gasification project is ₹25,016 crore. Environmental Clearance and Consent to Establish have been obtained, major EPC packages have been awarded, and site development is in progress. The project is scheduled for commissioning by March 2030. The cost of thermal power project as well as its completion timeline has not been finalized since it is under bidding process.
1(c): The coal gasification project envisages setting up a 0.66 MMTPA Coal-to-Ammonium Nitrate Plant based on BHEL's indigenous Pressurised Fluidised Bed Gasification (PFBG) technology. BCGCL is the project proponent, PDIL is the Project Management Consultant, and the major EPC packages have been awarded to BHEL and L&T. The name of the contractor for the power project has not been finalized since it is under bidding process. Odisha Power Generation Corporation Limited (OPGC) is the project proponent for the 2x660 MW power project.
(d): The coal gasification project is expected to generate about 2,000 direct and indirect employment opportunities. Engagement of skilled, semi-skilled and unskilled manpower will be as per project requirements. Preference to eligible local youth is in accordance with applicable policies.
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