Wash and soak channa dal for 1 or 2 hours. Drain the water and pat dry the dal with a clean kitchen towel.
Heat oil in a pan on a medium heat. Add the dal and roast on medium flame till the dal become golden brown. This will take roughly 8-10 minutes. Set aside.
Wash curry leaves well. Pat dry them with a kitchen towel.
In the same pan in which you roasted dal, add curry leaves and roast till the leaves become crisp. Set aside.
Peel the brown skin of coconut and chop it roughly into small cubes. Now add them in a blender and shred it. It takes roughly 10 seconds. I prefer doing this than grating it.
In a mixer grinder, add ginger, green chili, lemon juice, roasted dal, curry leaves, salt and coconut.
Now add 1/4th cup water and grind the chutney for few seconds. Open the blender and scrape of the sides. Now add remaining water and grind again till the chutney reaches a smooth consistency. If you feel the chutney is thick add more water but little at a time.
Take out the chutney in steel, glass or a ceramic bowl. Avoid plastic bowls.