Coal is projected to remain the cornerstone of India’s energy system for the next two decades, according to the Economic Survey 2023-24 presented in Parliament on Monday. The report emphasized that the gradual reduction in coal use will heavily rely on the import of critical minerals necessary for clean energy and battery storage.

The Economic Survey highlighted the importance of exploring carbon dioxide removal technologies and carbon capture, utilization, and storage (CCUS) to mitigate emissions from coal usage. These technologies are seen as vital for reducing the environmental impact of continued coal consumption.

“Coal phase-down will be heavily dependent on the import of critical minerals required for renewable energy and battery storage unless the country invests in the development of technologies based on domestically available mineral resources and those that enable the reuse, recovery, and recycling of critical minerals,” the survey explained.

This reliance on coal underscores the need for strategic investments in technology and infrastructure to support the transition to cleaner energy sources. The survey calls for increased focus on developing domestic capabilities for mining and processing critical minerals, as well as advancing technologies for recycling and reusing these materials.

The Economic Survey’s findings stress the importance of a balanced approach to energy policy, recognizing the ongoing role of coal while also pushing for innovation and investment in renewable energy and sustainable technologies.