Panjim (Goa): The Coal Ministry on Friday asked the allottees of new coal mines to start production ahead of the revised timelines and ramp up to peak rated capacity quickly to fill the gap in energy supplies amid the disruption in gas supplies due to the continuing conflict in West Asia.
Addressing a stakeholder consultation on ‘Mining for Future’, Coal Secretary Vikram Dev Dutt said the past eight months had tested the sector.
When the conflict in West Asia disrupted LNG and LPG supplies from late February, coal stocks at mines and power plants allowed the government to assure the country of steady power. However, he cautioned that the pressure has not eased.
Asking allottees to speed up production from the new coal mines, the Secretary said: “A block that is allocated but not producing is capacity the country has set aside and cannot use.”
The main message of the consultation was that India’s next gains in coal production will come from allocating new blocks as well as more from bringing already allocated blocks into production.
The Coal Secretary pointed out that the International Energy Agency expects gas markets to stay tight through 2027. Asian spot LNG averaged $17.5 per MBtu in the second quarter, 45 per cent higher than a year earlier; global coal demand is forecast at a record 8.94 billion tonnes in 2026.
“Each tonne we produce at home protects the economy from these swings,” he said.
India produced 1,041 million tonnes of coal in FY 2025-26, and coal still supplies more than 70 per cent of its electricity.
Dutt further elaborated that the ministry’s commitments span multiple dimensions, including sustainability, community welfare, and technological advancement. He emphasised the importance of scientific mine closure, highlighting the need to transform mined-out areas into co-created, vibrant habitats that promote a harmonious ecosystem, ensuring ecological restoration alongside community well-being and long-term social stability.
Additional Secretary Rupinder Brar said that the reforms carried out so far had reduced the time taken for operationalisation from 51 to 40 months for fully explored blocks and from 66 to 52 months for partially explored ones. Mining plan approvals now average 4.5 months against 9 months earlier; mine opening permission is granted by the company Board, and 44 accredited exploration agencies no longer need a prospecting licence.
She called for accelerated coal production with a conscious approach, balancing growth with environmental stewardship and community well-being, underscoring that sustainability must move in tandem with scale.
The ministry also sought suggestions from stakeholders on policy changes that would speed up operationalisation, clauses in coal mine agreements that need revisiting, and amendments required in Acts and Rules.
On responsible mining, the Secretary said a mine takes land, draws on water and changes livelihoods. Families who give up land should know from day one what they will receive, where they will move and how their incomes will be restored, and companies should honour every commitment they make.
(IANS)
