In a significant development for India’s energy sector, Union Minister of Coal, Mines, and Parliamentary Affairs, Pralhad Joshi, announced that the country’s coal production is poised to cross the one billion-tonne mark by the end of the year. Speaking at the launch function of the 9th round of commercial coal mine auctions, Minister Joshi praised Coal India Ltd and its subsidiary companies for their record-breaking performance, leading to increased self-sufficiency in coal production.
The minister highlighted the positive impact on energy security, predicting a substantial reduction in coal imports for the power sector to as low as 2% by 2025. This achievement is attributed to the surge in domestic coal production, a testament to India’s commitment to bolstering its fast-growing economy.
Joshi emphasised the adoption of sustainable coal mining practices, positioning India as a global leader in emissions containment. He lauded the country’s emergence as a front-runner in coal gasification, with a substantial incentive of ₹6,000 crore dedicated to this endeavour. The Minister also commended coal PSUs for their contribution to sustainable mining, having planted an impressive 100 million saplings in recent years.
The 9th round of commercial coal mine auctions, featuring a total of 31 mines spread across Jharkhand, Chhattisgarh, Madhya Pradesh, and Telangana, is expected to bring new investments, generate employment, and contribute to the socio-economic development of the coal-bearing states.
India, possessing a massive coal reserve of 344.02 billion tonnes, ranks as the second-largest coal producer globally. With 72% of electricity generated from coal, the sector plays a pivotal role in the nation’s developmental trajectory.
The revenue generated from the ongoing coal mine auctions, estimated at Rs. 33,343 crore annually, will be allocated to the coal-bearing state governments. This infusion of funds is expected to bring substantial socio-economic benefits to states such as Jharkhand, Chhattisgarh, Odisha, Madhya Pradesh, Maharashtra, West Bengal, Andhra Pradesh, Telangana, Arunachal Pradesh, Bihar, and Assam.
Acknowledging outstanding performance in the coal and lignite mining sector, Minister Joshi awarded Star Rating Awards to exceptional mines and distributed certificates to coal CPSEs as part of Special Campaign 3.0. The Star Rating policy, implemented since April 1, 2019, aims to enhance the overall performance and sustainability of coal and lignite mining by promoting responsible practices and driving competitiveness among mines.
Amrit Lal Meena, Secretary, Ministry of Coal, highlighted the critical role of coal production and congratulated five-star-rated mines, foreseeing the recognition as a catalyst for improved performance across the sector. Additional Secretary & Nominated Authority, M Nagaraju, underscored various reforms initiated by the ministry to ensure sustainable coal production.
