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India’s Captive, Commercial Coal Mines Cross 200 MT Production Mark For First Time

OMMCOM NEWS by OMMCOM NEWS
April 2, 2026
in Nation
Coal Auction

New Delhi: India’s captive and commercial coal mines crossed the 200 million tonne mark for the first time in FY 2025-26, with production reaching 210.46 million tonnes — a 10.22 per cent rise year-on-year, the Ministry of Coal said on Thursday.

According to the government, dispatches from captive and commercial blocks also hit a record 204.61 million tonnes — up 7.35 per cent from 190.42 million tonnes in FY 2024-25.

The previous year’s production had stood at 190.95 million tonnes.

Twelve captive and commercial coal blocks were operationalised during the fiscal year following the grant of mine opening permissions, adding over 86 million tonnes of annual production capacity to the operational mining base, it said.

The ministry further highlighted that of these, seven blocks commenced coal production within the same financial year, reflecting faster project execution and improved regulatory coordination.

It noted that the record output reflected improved operational efficiency, strengthened logistics, and the sector’s growing capacity to meet rising domestic energy demand.

The sustained increase in dispatches also pointed to more efficient coal evacuation and a stronger supply chain.

India has been steadily expanding its domestic coal production base to reduce dependence on imports.

Captive and commercial mining, which allows private and government entities outside Coal India to mine coal for their own use or for sale, has emerged as a key driver of this push since the sector was opened to commercial mining in 2020.

Union Coal and Mines Minister G. Kishan Reddy had announced, on X, that in a historic first, 35 auctioned mineral blocks have been operationalised in FY 2025–26 — the highest ever in a single year.

“With over 200 mineral blocks also auctioned in FY 2025-26, this reflects the government’s strong focus on fast-tracking execution and bringing resources into production without delay,” he stated.

The minister further noted that under the leadership of PM Narendra Modi, reforms such as faster clearances, close coordination with states, and strict monitoring have accelerated operationalisation.

This will boost domestic production, reduce import dependence, and generate employment, driving India’s vision of Aatmanirbhar Bharat and Viksit Bharat 2047, he said.

(IANS)

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