**Executive Summary**
The Ministry of Coal provided an answer to Lok Sabha Unstarred Question No. 1627, addressing environmental audits of open cast mines, audit findings for the Kapri/Kapurdi lignite mine, and mine rehabilitation policies. The response includes environmental clearance procedures, audit findings, and measures to strengthen mine closure frameworks. The final revised guidelines regarding environmental audits were released on January 31, 2025, and the question will be answered on December 10, 2025.
**Key Points / Main Content**
* **Environmental Clearance and Compliance**
* Coal and lignite mines require prior Environmental Clearance (EC) from MoEF&CC/SEIAA and consent from State Pollution Control Boards (SPCBs).
* Periodic compliance reports are submitted to competent authorities, and inspections are conducted by MoEF&CC and SPCBs officials.
* Third-party environmental clearance compliance audits are conducted by reputed agencies.
* **Environmental Audit Rules, 2025**
* The government notified the Environment Audit Rules, 2025, to strengthen environmental compliance.
* A structured mechanism for environmental audit is established through Registered Environment Auditors.
* Auditors verify compliance with environmental safeguards, examine emissions, waste management, and report violations.
* This supplements monitoring by Central and State Pollution Control Boards.
* **Key Findings of Environmental Clearance Compliance Audits**
* Regular examination for slope failure and abnormal conditions.
* Regular observation for land erosion.
* Schedule for green belt development is checked annually.
* Regular contact with surrounding villages to monitor the implementation of developmental schemes.
* Monitoring of fugitive dust emission (Total Suspended Particulate (TSP)).
* Exploration of the possibility of developing a scientific policy towards use of fly ash.
* Regular calibration of all CAAMS stations.
* Regular maintenance of sprinklers.
* Proper maintenance and de-silting of garland drains.
* Regular monitoring of stone pitching and brick mounds on drains.
* Coal Companies comply with audit reports.
* **CAG Audit of Kapurdi Mines**
* CAG conducted an audit of M/s Barmer Lignite Mining Company Limited (BLMCL).
* Incidental Audit Findings:
* Blockage of funds amounting to Rs 159.90 crore due to non-availability of land, resulting in a cost escalation of Rs 68.59 crore.
* Inaccurate interest calculation leading to an over payment of Rs 0.20 crore.
* Non-compliance with the Rajasthan Transparency in Public Procurement Rules, 2013.
* BLMCL has furnished detailed replies to each audit para.
* **Mine Rehabilitation and Reclamation Policies**
* The Union Government effectively implements mine rehabilitation and reclamation policies.
* Coal mining companies undertake reclamation as per Mining Plans and Environment Management Plans.
* These activities are governed by Mine Closure Guidelines issued by the Ministry of Coal and the EIA Notification, 2006.
* The Ministry of Coal has issued comprehensive guidelines to strengthen the mine closure framework.
* Mine owners must execute protective, reclamation, and rehabilitation works.
* Mine owners must submit annual progress reports to the Coal Controller.
* Coal Companies carry out progressive and final mine closure works.
* Half-yearly and annual reports are submitted to the Coal Controller Organisation (CCO).
* Third-party audits are conducted, and mine closure funds are released in a phased manner.
* Environmental monitoring of air, water, and noise is undertaken during mining and post-closure stages.
**Impact Analysis**
**Coal and Lignite Mining Companies**
*Impact:* Required to obtain environmental clearances, comply with audit findings, implement rehabilitation, and adhere to mine closure guidelines.
*Action Required:* Ensure compliance with environmental regulations, implement audit recommendations, and prepare and submit required reports.
**State Pollution Control Boards (SPCBs)**
*Impact:* Responsible for granting consent for mining operations and collaborating in the monitoring of environmental compliance.
*Action Required:* Oversee mining operations within their jurisdiction, ensure adherence to environmental standards, and collaborate with the Ministry of Environment, Forest & Climate Change (MoEF&CC) on compliance matters.
**Ministry of Environment, Forest & Climate Change (MoEF&CC) / SEIAA**
*Impact:* Responsible for providing environmental clearances and conducting inspections to ensure compliance with environmental regulations.
*Action Required:* Review and approve environmental clearances for mining projects, conduct regular inspections to assess compliance, and enforce environmental regulations.
**Registered Environment Auditors**
*Impact:* Responsible for conducting structured environmental audits and reporting violations.
*Action Required:* Perform audits of mine environmental compliance in accordance with the 2025 guidelines, identify violations, and submit audit reports.
**Communities surrounding Mines**
*Impact:* Affected by mining activities and the implementation of developmental schemes.
*Action Required:* Engage with the mining companies through the environmental department to communicate concerns and suggestions for developmental schemes.
**Barmer Lignite Mining Company Limited (BLMCL)**
*Impact:* Required to address the findings of the CAG audit regarding financial irregularities.
*Action Required:* Implement corrective measures to address audit findings, improve financial management, and ensure compliance with procurement rules.
**Coal Controller Organisation (CCO)**
*Impact:* Receives and reviews reports on mine closure works.
*Action Required:* To review the half yearly and annual reports on mine closure works submitted by Coal Companies.
Key Entities Referenced
Environment Audit Rules, 2025: Rules notified by the Government to establish a structured mechanism for systematic environment audit through Registered Environment Auditors to verify compliance with environmental safeguards.
Ministry of Environment, Forest & Climate Change (MoEF&CC): Central ministry responsible for granting Environmental Clearances (EC) to coal and lignite mines and overseeing environmental compliance.
State Pollution Control Boards (SPCBs): State-level authorities responsible for granting consent to operate for mining operations and monitoring environmental compliance.
Mine Closure Guidelines: Guidelines issued by the Ministry of Coal to govern mine rehabilitation and reclamation activities, ensuring environmental protection after mining operations cease.
Comptroller and Auditor General of India (CAG): The constitutional body that audits government expenditure, including environmental audits of mines like the Kapurdi mine in Barmer, Rajasthan.
GOVERNMENT OF INDIA
MINISTRY OF COAL
LOK SABHA
UNSTARRED QUESTION NO. 1627
TO BE ANSWERED ON 10.12.2025
Environmental Audit of Open Cast Mines
†1627. Shri Ummeda Ram Beniwal:
Will the Minister of Coal be pleased to state:
(a) whether the Government has conducted environmental audit of open cast mines;
(b) if so, the details of key findings of these environmental audit;
(c) whether the Comptroller and Auditor General of India (CAG) has conducted an audit of the
Kapri/Kapurdi lignite mine in Barmer district of Rajasthan;
(d) if so, the details of findings of that audit and the action taken in this regard so far;
(e) whether the Union Government has failed to effectively implement mine rehabilitation and
reclamation policies across the country; and
(f) if not, the details and the key actions taken so far?
ANSWER
MINISTER OF COAL AND MINES
(SHRI G. KISHAN REDDY)
(a) All coal and lignite mines are mandated to obtain prior Environmental Clearance (EC) from
MoEF&CC (Ministry of Environment, Forest & Climate Change)/ SEIAA (State Level
Environment Impact Assessment Authority) and consent from the respective State Pollution
Control Boards (SPCBs) for undertaking mining operations. In addition, periodic compliance
reports are regularly submitted to the competent authorities and inspections are undertaken by
officials of MoEF&CC and the concerned SPCBs.
Third party environmental clearance compliance audits of opencast coal mines are being
undertaken at specified intervals by engaging reputed agencies like National Environmental
Engineering Research Institute (NEERI), Indian Council of Forestry Research and Education
(ICFRE), IIT-ISM etc., in compliance to the conditions of Environmental Clearances.
To further strengthen the environmental compliance framework for projects operating under
various environmental laws, including for coal mines, the Government has notified the
Environment Audit Rules, 2025. The Rules establish a structured mechanism for systematic
environment audit through Registered Environment Auditors to verify compliance with
environmental safeguards, examine emissions and waste management systems, and report
violations. This audit mechanism supplements the existing monitoring carried out by the Central
and State Pollution Control Boards.
(b) The key findings of the environmental clearance compliance audits are as follows:-2-
i. Regular examination must be carried out to look for slope failure on open cast mine faces, and
overburden benches etc. Any abnormal condition, if observed must be brought immediately to
the notice of the concerned.
ii. Regular observation for checking land erosion will be made around the mining and dumping
areas.
iii. Schedule planned for green belt development may be checked after every year and any
alteration required should be implemented. Post plantation status should be regularly checked in
every season.
iv. The environmental department must be in regular touch with surrounding villages to monitor
the implementation of various developmental schemes. Confidence in people in surrounding
villages regarding functioning of the project in the area need be generated.
v. Fugitive dust emission (Total Suspended Particulate (TSP)) should be monitored for personal
and nearby surrounding area exposure assessment and worker safety at critical prone area in
mine premises such as haul road, crusher, near drilling and blasting point, loading and unloading
point of coal, etc. with the help of Respirable Dust Sampler (RDS).
vi. Coal Company may explore the possibility of developing a scientific policy towards use of
fly ash in the mines so as to ensure environmental sustainability.
vii. All the CAAMS stations should be regularly calibrated
viii. The sprinklers maintenance should be carried out regularly
ix. The garland drains size to be maintained properly and de-silted at regular intervals. Any
blockage due to silting or accumulation of loose materials will be checked on a regular basis.
Stone pitching, brick mounds etc. on drain shall also monitored.
Coal Companies are complying with the observations and suggestions of the EC compliance
audit reports.
(c) & (d) Yes. Comptroller and Auditor General of India (CAG) has conducted the audit of M/s
Barmer Lignite Mining Company Limited (BLMCL), a Government of Rajasthan Enterprise,
the owner of Kapurdi Mines. Though the Audit report for the FY 23-24 did not record
any Significant Audit Findings, following are the Incidental Audit Findings:
i. Blockage of funds amounting to Rs 159.90 crore due to non-availability of land, which
further resulted in an undue cost escalation of Rs 68.59 crore.
ii. Inaccurate interest calculation leading to an over payment of Rs 0.20 crore.
iii. Non-compliance with the provisions of the Rajasthan Transparency in Public Procurement
Rules, 2013.
In this regard, BLMCL has furnished its detailed replies to each of the audit paras vide letter
dated 29.01.2025. The company, in the reply made to CAG has clarified the circumstances
relating to the observations and the corrective measures initiated.
(e) & (f) It is submitted that the Union Government is effectively implementing mine
rehabilitation and reclamation policies. All coal mining companies, undertake reclamation and
rehabilitation as per the approved Mining Plans (including the Mine Closure Plans) and
Environment Management Plans. These activities are governed by the Mine Closure Guidelines
issued by the Ministry of Coal and the provisions of the EIA Notification, 2006 issued by
MoEF&CC.
The Ministry of Coal has issued a series of comprehensive guidelines to strengthen the mine
closure framework, including those released in 2009, 2013, 2020, 2022 and the latest revised
guidelines dated 31.01.2025. As per these guidelines, the mine owner is responsible for executing
all protective, reclamation and rehabilitation works and must submit annual progress reports to
the Coal Controller.-3-
In accordance with the guidelines, Coal Companies carry out progressive and final mine closure
works and submit half-yearly and annual reports to CCO (Coal Controller Organisation). Third-
party audits are being conducted through accredited institutions, and mine closure funds
deposited in ESCROW accounts are released in a phased manner. Environmental monitoring of
air, water and noise is also undertaken through CPCB-recognised and NABL-accredited agencies
during mining operations and post-closure stages, ensuring effective implementation of
rehabilitation and reclamation activities.
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