Coal production crossed a billion tonnes in India, says Kishan

Sharing the information on `X’, Kishan Reddy said the country has increased production by ensuring sustainable and responsible mining with cutting-edge technologies and efficient methods. This achievement will fuel our increasing power demands, drive economic growth, and ensure a brighter future for every Indian.

India is the second-largest consumer of coal, as it runs power stations generating 74 per cent of electricity in India. With electricity demand growing sharply, coal production did not keep pace forcing the country to import coal despite having globally fifth largest coal reserves in India.

The government intervened to improve domestic coal production by introducing new technologies and allotting new mines. As of January 2025, the coal ministry has allotted 184 mines, with 65 blocks receiving Mine Opening Permissions. Total production from these blocks is expected to exceed the 170-million tonne target in FY 2024-25.

"Under the visionary leadership of PM Narendra Modi, India is on its path to becoming a global energy leader,” Kishan Reddy added. He also congratulated the workforce of the coal sector, serving as the backbone of the nation's energy security.

Responding to the development, Prime Minister Narendra Modi said that India crossing one-billion tonnes of coal production is a proud movement for India. “Crossing the monumental milestone of 1 Billion tonnes of coal production is a remarkable achievement, highlighting our commitment to energy security, economic growth and self-reliance. This feat also reflects the dedication and hard work of all those associated with the sector,” he said.

Besides increased output from key mines like Gevra and Kusmunda in Chhattisgarh, which are one of the largest coal producing mines globally, the crackdown on coal pilferage has significantly contributed to the increase in production.

India plans to achieve self-sufficiency to meet the coal demands by 2026, through a multi-faceted approach that includes increasing domestic production, reducing imports, and enhancing infrastructure.

The government is allowing captive coal mines to sell surplus coal in the open market, as it will incentivise them to increase production.

In an attempt to reduce coal imports from over 20 per cent to 11 per cent by the end of financial year 2026, the government has started encouraging thermal power stations to move away from imported coal and use domestic coal instead.

Singareni Collieries Company Limited, a Telangana-based coal miner, is expected to cross over 69 million tonnes of coal production in the fiscal, contributing around 6.9 per cent in the country’s coal production.

In 2023-24, SCCL produced 70.02 million tonnes of coal, while the total coal production in the country was 997.83 million tonnes. Singareni had contributed 7.02 per cent of the coal production in that year.

With continued rains in the last monsoon, the coal production in Singareni has marginally reduced this fiscal compared to last fiscal.