The Ministry of Coal has launched the 11th round of commercial coal mine auctions, marking a significant step toward enhancing India’s energy security and reducing its dependence on coal imports. Union Minister of Coal and Mines, Shri G. Kishan Reddy, unveiled the auction process in New Delhi, offering a total of 27 coal blocks across key states like Jharkhand, Odisha, Chhattisgarh, Maharashtra, Madhya Pradesh, and Arunachal Pradesh.
These blocks include both fully explored and partially explored mines, with one coking coal mine among them, ensuring a diverse set of opportunities for private sector players. This round follows the successful completion of the 10th round, which has already generated a projected annual revenue of ₹1,446 crore and is set to provide employment to approximately 19,000 individuals upon operationalisation. The coal sector in India plays an irreplaceable role in the nation’s energy landscape, with power generation heavily dependent on it. Minister Reddy emphasised this point, stating that achieving energy security and self-reliance is impossible without a robust coal industry. The auction process, part of a broader reform agenda, is expected to bolster domestic coal production, ensuring a steady supply for power generation, industrial use, and critical sectors like steel and cement.
The 11th round of auctions includes several reforms designed to make the coal mining sector more attractive and sustainable. Mines located in protected areas, wildlife sanctuaries, and areas with dense habitation or critical infrastructure have been excluded from the auction list. Moreover, boundaries of some coal blocks have been revised to reduce environmental impact and improve their attractiveness to bidders. The Ministry has focused on modernising the sector, with advanced technologies now being leveraged to enhance productivity, improve safety, and manage environmental impacts more effectively. Shri Reddy also highlighted the Government’s commitment to enhancing domestic coal production and empowering local communities. By generating employment and improving infrastructure, healthcare, and education in mining regions, coal auctions are expected to contribute significantly to social and economic development. Additionally, the government is promoting Coal and Lignite Gasification projects with a ₹8,500 crore incentive scheme aimed at reducing reliance on imported natural gas and cutting carbon emissions.
Shri Vikram Dev Dutt, Secretary of the Ministry of Coal, underscored the importance of policy reforms that foster innovation, reduce production costs, and meet growing energy demands while adhering to environmental standards. The Ministry’s collaboration with other departments, such as the Ministry of Environment and Ministry of Power, is crucial for creating a balanced approach to energy security and sustainable development. As the demand for coal continues to surge, the government’s push for more private sector involvement is seen as key to meeting India’s energy requirements. The auction for the 11th round will be conducted online through a transparent two-stage process, and tender documents will be available from December 5, 2024, on the MSTC auction platform.
