India's Coal Production likely To Cross 1 Bn tonnes: Minister Pralhad Joshi
Coal and Mines Minister Pralhad Joshi, on Wednesday, said that the coal import for the power sector is expected to plummet to 2 per cent by 2025, due to substantial increase in domestic coal production.
Speaking at the launch function of the 9th round of commercial coal mine auction, Minister added, "India's coal industry continues to play a pivotal role in ensuring energy security, providing a significant boost to our rapidly growing economy."
A total of 31 coal mines, including 26 under the 9th round and five under the 2nd attempt of the 7th round, are offered in the 9th round of commercial coal mine auctions. The mines being auctioned are spread across coal/lignite-bearing states of Jharkhand, Chhattisgarh, Madhya Pradesh, and Telangana.
India has a total coal reserve of 344.02 billion tonnes and is the second largest producer of coal in the world. India has seen a consistent increase in the demand for electricity over the years. Given that 72 per cent of the electricity in India is generated from coal, it becomes a very strategic sector for the nation’s development.
Commercial coal mining is expected to bring new investments to the country and generate employment, both direct and indirect. The entire revenue from the auctions would be allocated to the coal-bearing State Governments, bringing socio-economic benefits to the coal-bearing States of Jharkhand, Chhattisgarh, Odisha, Madhya Pradesh, Maharashtra, West Bengal, Andhra Pradesh, Telangana, Arunachal Pradesh, Bihar, and Assam.
Coal mining from the auctioned mines till date is estimated to bring an annual revenue of Rs. ~33,343 crore, considering production at aggregated Peak Rate Capacity level of ~220.90 MTPA. Once these mines are fully operational, they will generate employment for around three lakh persons directly and indirectly, and the total investment of more than Rs. 30,000 crore will be expended to operationalize these coal mines.
