THEBUSINESSBYES
BUREAU
NEW
DELHI, SEPTEMBER 16, 2026
The Ministry of Coal
will launch the 16th round of commercial coal mine auctions on Thursday,
offering a fresh set of fully explored and partially explored coal blocks as
the government seeks to further expand domestic production and attract
investment into the sector.
Minister of State for
Coal and Mines Satish Chandra Dubey will be the chief guest at the launch event
to be held in New Delhi on September 17, 2026.
Commercial coal
mining was launched by Prime Minister Narendra Modi in 2020, and over the past
six years, 147 coal mines have been successfully auctioned across 15 completed
rounds, bringing 44 new companies into the sector.
The auctioned mines
are estimated to generate annual revenue of around Rs 47,500 crore, attract
capital investment of nearly Rs 55,000 crore and create about 4.9 lakh
employment opportunities across coal-bearing states.
The 16th round will
continue to operate under the liberalised framework introduced for commercial
coal mining. The auction regime has no end-use restrictions, permits 100 per
cent foreign direct investment through the automatic route and provides for low
upfront payments that can be adjusted against future revenue share.
The provisions are
aimed at facilitating wider participation, including from smaller and
first-time bidders, while offering an avenue for established mining companies
and technology-driven enterprises to enter or expand their presence in the coal
sector.
The commercial coal
mine auction programme has contributed to higher domestic coal production and
availability while supporting efforts to reduce dependence on coal imports. The
initiative is also aligned with the broader objectives of Aatmanirbhar Bharat,
with the government seeking to strengthen domestic resources and build greater
resilience in the energy sector.
The 16th round is expected to add further coal blocks to the production pipeline, creating additional employment opportunities and attracting fresh investment into coal-bearing regions.
The Ministry of Coal has reiterated its commitment to ensuring a reliable and affordable energy supply for the country, in line with India's long-term energy security objectives.