New Delhi, Aug 3 (IANS) India’s captive and commercial coal mining sector recorded a 9.61 per cent growth to 14.78 million tonnes (MT) during July this year, compared to the same month of the previous year, to stay on the steady growth path, according to a statement issued by the Coal Ministry on Monday.

Coal dispatches from captive and commercial mines reached 17.49 million tonnes during the month.

“The encouraging performance highlights continued improvements in operational efficiency, enhanced mining productivity, and more effective utilisation of mining capacities across the captive and commercial coal mining sector,” the statement said.

The sustained rise in production from captive and commercial mines is expected to reduce dependence on imported coal, strengthen supply chain resilience, conserve valuable foreign exchange, and advance the Government's vision of Atmanirbhar Bharat by enhancing self-reliance in a critical raw material essential for the nation's energy security and industrial development.

The share of captive and commercial mines in the country’s total coal production blocks has risen from 10.9 per cent in FY 2021-22 to 20.2 per cent in FY 2025-26.

In 2014, the Supreme Court of India cancelled 204 of the 218 blocks allocated between 1993 and 2012, finding the process arbitrary for want of consistent and objective criteria, and made clear the need for a transparent, auction-based framework. Commercial coal mining was formally launched in June 2020, under Prime Minister Narendra Modi’s 'Aatmanirbhar Bharat' vision.

As many as 141 coal mines have been auctioned commercially across 14 rounds under the new scheme, with a combined peak rated capacity of 366.35 MT per annum.

Captive and commercial blocks together produced about 210.46 MT in FY 2025-26, crossing the 200 million tonne mark for the first time. A decade earlier, the figure stood at 28.83 MT, a compound annual growth of about 22 per cent over the period. Within this, commercial mines have contributed about 26.12 MT in FY 2025-26, with 23 mines operational (obtained Mine Opening Permission).

At full production, the blocks auctioned so far are expected to yield annual revenue of about Rs 47,000 crore, draw capital expenditure of about Rs 48,756 crore, and generate employment of about 4,75,000.

The government’s revenue from premium generation has risen from Rs 461 crore in FY 2014-15 to Rs 5,553 crore in FY 2025-26, a compound annual growth of about 26 per cent, accruing to the exchequer and producing states.

--IANS

sps/na