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Coal PSUs Turn Closed Mines into Eco Parks and Tourist Spots Under New Closure Guidelines

Coal PSUs repurpose closed mines into eco-tourism and livelihood hubs under 2025 mine closure guidelines, boosting community development.
Indian Masterminds Stories

New Delhi: The Government of India is transforming closed coal mines into tourism and community hubs, aligning with global practices seen in Germany, the UK, and Australia. Coal and lignite PSUs are actively converting decommissioned mining sites into eco-parks, recreational spaces, and livelihood centres, under the recently revised 2025 Mine Closure Guidelines.

The initiative aims to promote sustainable land use and generate alternative income opportunities for affected communities. Union Minister of Coal and Mines, G. Kishan Reddy, shared these developments in a written reply in the Lok Sabha on August 6.

Eco Tourism & Heritage Parks Emerging from Mines

Coal PSUs across India have undertaken several notable repurposing efforts. Examples include:

  • Bishrampur (Kenapara) and Ananya Vatika – South Eastern Coalfields Ltd. (SECL)
  • Saoner Eco Park – Western Coalfields Ltd. (WCL)
  • Kayakalp Vatika and pisciculture at Kerketta Mine Void – Central Coalfields Ltd. (CCL)
  • C S Azad Eco Park (Orient Mine No. 4) – Mahanadi Coalfields Ltd. (MCL)
  • Sindoor Eco Park and Mango Orchard (Jhanjra) – Eastern Coalfields Ltd. (ECL)
  • Parasnath Udyan – Bharat Coking Coal Ltd. (BCCL)

These locations are being developed as eco-tourism, recreational, and biodiversity restoration sites.

Also Read: Coal Power Trio: CIL, NLCIL & SCCL Achieve 114% of Q1 Capex Target, Signalling Aggressive Growth

2025 Closure Guidelines Promote Green, Inclusive Transition

The Guidelines for Preparation of Mining Plan and Mine Closure Plan for Coal and Lignite Blocks-2025 mandate a scientific, socially responsible closure of mines. The focus is on land reclamation, environmental restoration, and integration of post-mining land for public use.

Key features include:

  • Support for agriculture, pisciculture, solar power, and cultural heritage projects
  • Active community participation in post-mining land operations
  • Boosting employment through eco-tourism and local maintenance roles
  • Employment Continuity & Community Development Ensured

When coal mines close due to resource exhaustion, permanent workers are redeployed to operational mines to ensure job continuity.

Additionally, PSUs undertake skill development and livelihood programmes under CSR and closure policies. Notably:

  • At least 25% of the five-yearly escrow amount for mine closure must go toward community development
  • 10% of final mine closure costs are earmarked for Just Transformation, supporting local socio-economic transitions in consultation with the district administration and stakeholders

These measures reflect India’s commitment to sustainable mining and inclusive growth in energy transition zones.

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.

Also Read: Strategic Expansion: Coal India Sets Sights on Critical Minerals, 1-BT Output with ₹16,000 Cr Capex for FY26


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