THEBUSINESSBYTES
BUREAU
NEW
DELHI, SEPTEMBER 17, 2026
The Ministry of Coal
on Thursday launched the 16th round of commercial coal mine auctions, offering
25 coal blocks across nine coal-bearing states, while executing Coal Mine
Development and Production Agreements (CMDPAs) for six mines auctioned in
earlier rounds.
Minister of State for
Coal and Mines Satish Chandra Dubey, who was the chief guest at the launch
event here, formally opened the latest tranche of commercial coal mine
auctions. Along with Coal Ministry Secretary Vikram Dev Dutt, he also handed
over CMDPAs to successful bidders of the six coal mines.
The CMDPAs were
executed for Tara (Revised), Margo West, Margo East, Mandla South, Dongeri
Tal-II and Dip Side of PKoC. The successful bidders include CG Syn-Gas &
Chemicals Ltd, Jharkhand Exploration & Mining Corporation Ltd, Qube
Commercial Pvt Ltd, Gallant Ispat Ltd and The Singareni Collieries Ltd.
Together, the six
mines have geological reserves of around 1,504 million tonnes and a combined
peak rated capacity of 11.62 million tonnes per annum (MTPA). Once operational,
they are expected to generate annual revenue of around Rs 1,984 crore, attract
capital investment of nearly Rs 1,743 crore and create approximately 15,700
employment opportunities in the respective coal-bearing regions.
The 16th round offers
25 coal blocks, including 21 fully explored and four partially explored mines,
spread across Arunachal Pradesh, Bihar, Chhattisgarh, Jharkhand, Madhya
Pradesh, Maharashtra, Odisha, Telangana and West Bengal.
Of the blocks on
offer, six are being auctioned under the Coal Mines (Special Provisions) Act
(CMSP), while 19 come under the Mines and Minerals (Development and Regulation)
Act (MMDR).
The latest tranche is
open to experienced mining companies, new entrants and technology-driven
enterprises under the commercial coal mining framework, which allows coal
mining without end-use restrictions. The framework also permits 100 per cent
foreign direct investment through the automatic route and provides for low
upfront payments adjustable against future revenue share.
With the launch of
the latest round, the commercial coal mining programme has completed 16 rounds
since Prime Minister Narendra Modi opened the sector to commercial mining in
2020.
A total of 147 coal
mines have been auctioned so far, with cumulative expected annual revenue of
more than Rs 47,500 crore and projected capital investment exceeding Rs 55,000
crore across nine coal-bearing states.
Addressing the
launch, Dubey highlighted the critical role of coal in powering India's
economic growth, noting that it accounts for around 55 per cent of the
country's primary energy requirement and more than 70 per cent of its
electricity generation.
He said coal
production has crossed the one-billion-tonne mark for the second consecutive
year, reflecting the strength of India's domestic coal sector and its growing
contribution to energy security.
Dubey also
highlighted the government's efforts to transform the coal sector through
greater transparency, competition and technology-enabled processes. He stressed
the importance of providing a level playing field for stakeholders and creating
a conducive environment for investment and wider participation in commercial
coal mining.
The minister called
for greater utilisation of India's domestic coal resources, higher production
and reduced dependence on imports, while emphasising efficient and sustainable
utilisation of the country's coal reserves. He also urged stakeholders to
actively participate in the commercial coal mine auction process and contribute
to strengthening India's energy security.
In her welcome
address, Additional Secretary and Nominated Authority Rupinder Brar said the
coal sector is undergoing a transformation towards a transparent,
technology-enabled and competitive ecosystem.
She pointed to the
recent surge in coal production from captive and commercial mines and said
energy remains the foundation of growth, development and progress.
Brar highlighted the
potential of India's coal sector to unlock domestic resources, boost
production, attract investment and create new opportunities. She said the
Office of the Nominated Authority remains accessible to stakeholders for
dialogue and resolution of their concerns and queries, with the objective of
maintaining a conducive and transparent framework for commercial coal mining.
Additional Secretary,
Ministry of Coal, Sanoj Kumar Jha, in his address, highlighted the growing
focus on coal gasification as an important avenue for value addition and
innovative utilisation of India's abundant coal resources.
He stressed the need
to accelerate technology adoption and strengthen the ecosystem for
next-generation coal utilisation, while learning from global technologies and
best practices and developing solutions suited to India's requirements.
Leveraging
technology, innovation and global expertise, Jha said, can help unlock new
possibilities in coal utilisation and support a more efficient, sustainable and
future-ready coal sector.
The Ministry of Coal
said it remains committed to deepening reforms in the sector, promoting greater
participation and investment and ensuring a reliable and affordable energy
supply in line with India's long-term energy security goals.