New Delhi: The Ministry of Coal launched the 16th Round of Commercial Coal Mine Auctions in New Delhi on September 17, while also executing Coal Mine Development and Production Agreements (CMDPAs) for six coal mines auctioned in earlier rounds. The event was attended by Minister of State for Coal and Mines Satish Chandra Dubey as the Chief Guest.
16th Round Offers 25 Coal Blocks Across Nine States
The latest auction round offers 25 coal blocks, including 21 fully explored and four partially explored mines, across nine coal-bearing states.
The states are:
- Arunachal Pradesh
- Bihar
- Chhattisgarh
- Jharkhand
- Madhya Pradesh
- Maharashtra
- Odisha
- Telangana
- West Bengal
Of the 25 blocks, six are being offered under the Coal Mines (Special Provisions) Act (CMSP) and 19 under the Mines and Minerals (Development and Regulation) Act (MMDR).
The commercial coal mining framework allows participation from experienced mining companies, new entrants and technology-driven enterprises. It provides for no end-use restrictions and 100% FDI through the automatic route, along with low upfront payments that can be adjusted against future revenue share.
CMDPAs Executed for Six Coal Mines
Along with the launch of the new auction round, CMDPAs were executed for six coal mines auctioned in earlier rounds.
The mines are:
- Tara (Revised)
- Margo West
- Margo East
- Mandla South
- Dongeri Tal-II
- Dip Side of PKoC
The successful bidders include CG Syn-Gas & Chemicals Ltd., Jharkhand Exploration & Mining Corporation Limited, Qube Commercial Pvt. Ltd., Gallant Ispat Ltd. and The Singareni Collieries Limited.
Six Mines to Generate Revenue and Employment
The six mines together have geological reserves of approximately 1,504 million tonnes and a combined Peak Rated Capacity (PRC) of 11.62 MTPA.
Once operational, the mines are expected to:
- Generate annual revenue of around ₹1,984 crore
- Attract capital investment of nearly ₹1,743 crore
- Create approximately 15,700 employment opportunities
- Support economic activity in the respective coal-bearing regions
147 Coal Mines Auctioned So Far
With the launch of the 16th round, the commercial coal mining programme has completed 16 rounds since the opening of the sector to commercial mining in 2020.
According to the Ministry of Coal, a total of 147 coal mines have been auctioned so far, with cumulative expected annual revenue of more than ₹47,500 crore and projected capital investment exceeding ₹55,000 crore across nine coal-bearing states.
Satish Chandra Dubey Highlights Coal Sector’s Role
Addressing the launch, Minister of State for Coal and Mines Satish Chandra Dubey highlighted the role of coal in India’s energy system. According to the Ministry, coal meets around 55% of India’s primary energy requirement and more than 70% of its electricity generation.
Dubey also highlighted the country’s coal production crossing the 1-billion-tonne mark for the second consecutive year, and stressed the importance of transparency, competition and technology-enabled processes in the coal sector.
He called for greater participation in commercial coal mine auctions and emphasised the need to increase domestic coal production, reduce import dependence and ensure efficient utilisation of coal resources.
Ministry Focuses on Transparency and Investment
In her welcome address, Rupinder Brar, Additional Secretary and Nominated Authority, highlighted the transformation of India’s coal sector towards a more transparent, technology-enabled and competitive ecosystem.
She noted the growth in coal production from captive and commercial mines and emphasised the importance of energy for economic growth and development.
Brar also highlighted the potential of India’s domestic coal resources to:
- Increase production
- Attract investment
- Create employment opportunities
- Support new business opportunities
She said the Office of the Nominated Authority remains accessible to stakeholders to facilitate dialogue and address concerns related to commercial coal mining.
Ministry Highlights Coal Gasification and Technology
Sanoj Kumar Jha, Additional Secretary, Ministry of Coal, highlighted the growing focus on coal gasification as a means of adding value to India’s coal resources.
He stressed the need to accelerate technology adoption and develop an ecosystem for next-generation coal utilisation. He also emphasised learning from global technologies and best practices while developing solutions suited to India’s requirements.
The Ministry said technology, innovation and global expertise can help create new possibilities for coal utilisation and support a more efficient and future-ready coal sector.
Ministry of Coal’s Continued Focus on Coal Sector Reforms
The Ministry of Coal said it remains focused on deepening reforms, increasing participation and investment, and supporting a reliable and affordable energy supply as part of India’s long-term energy security framework.
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