New Delhi: The government is preparing to introduce major reforms in the coal sector, Union Minister for Coal G Kishan Reddy announced on Thursday. The statement came during the launch of the 13th round of commercial coal mine auctions.
Push for Next-Generation Coal Reforms
Reddy said his ministry is working on a second generation of coal reforms to expand production and efficiency. He urged industry stakeholders to share suggestions, stressing that the matter is regularly discussed at Cabinet meetings with the Prime Minister. “Increasing coal production and reforms for the sector are now top priorities. We are holding continuous meetings to finalize these steps,” he noted.
Energy Self-Reliance Through Coal
India holds the world’s fifth-largest coal reserves, yet only 10 percent has been mined so far. Reddy emphasized that self-reliance in energy is vital, especially in the current global geopolitical climate. With power demand peaking at 250 GW this year, coal supplying 75 percent of India’s electricity will remain central. He said faster clearances and land acquisition are needed to boost output.
Stable Supply Through Reforms
The minister highlighted that reforms under the Modi government have ensured no shortage of coal at present. Power plants are carrying adequate stocks to meet rising demand. He also stressed the importance of regular auctions to bring more coal blocks into production.
Transparent Auctions Drive Growth
According to the Coal Ministry, the auction system has become a cornerstone of Atmanirbhar Bharat. It has attracted new companies and smaller miners, fostering competition and efficiency. Since the launch of commercial auctions, 134 mines have been allocated in 12 rounds, drawing ₹41,600 crore in investments and generating over 3.5 lakh jobs. The 13th round adds 14 more coal blocks for bidding.
Emphasis on Coal Gasification
Reddy underlined diversification into cleaner coal technologies, particularly gasification. He noted that over 40 percent of India’s coal (about 370 billion tonnes) is deep-seated and cannot be mined conventionally. Underground Coal Gasification (UCG), he said, can unlock this potential while reducing land use and minimizing environmental impact. “By harnessing in-situ reserves, UCG offers cleaner and more sustainable coal utilization,” he added.
Details of the 13th Auction
The 13th round features 14 coal mines, four under the Coal Mines (Special Provisions) Act, 2015, and 10 under the Mines and Minerals (Development and Regulation) Act, 1957. Of these, 10 are fully explored for immediate development and four are partially explored, offering long-term prospects. Three blocks from earlier rounds are also available. The mines are spread across Jharkhand, Chhattisgarh, Odisha, Andhra Pradesh, and Madhya Pradesh.
About the Ministry of Coal
The Ministry of Coal oversees coal exploration, development, and distribution in India. It works closely with major coal PSUs like CIL and SCCL to meet national energy demands. Through policy reforms and sustainable practices, the ministry is now guiding a shift toward greener mining practices and just transition for impacted communities.
