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GOVERNMENT OF INDIA
MINISTRY OF COAL
RAJYA SABHA
UNSTARRED QUESTION NO. 216
ANSWERED ON 02.02.2026
INCREASE IN COAL PRODUCTION AND DEVELOPMENT OF CLEAN COAL
TECHNOLOGY
216 # Shri Pradip Kumar Varma:
Will the Minister of Coal be pleased to state:
(a) the role played by Coal India Limited (CIL), Singareni Collieries Company Limited (SCCL)
and captive mining in boosting coal production during 2019–2024 and the details of progress
made in reducing import dependence;
(b) the improvements made in coal supply through environmental/forest clearances, land
acquisition, online linkages and logistics reforms;
(c) the current status of coal gasification, coal-to-methanol, coal bed methane (CBM) extraction
and carbon capture utilization and storage (CCUS) and other clean coal technologies; and
(d) the outcomes of Rehabilitation and Resettlement (R&R), infrastructure development, land
restoration, and afforestation in mining areas?
ANSWER
MINISTER OF COAL AND MINES
(SHRI G. KISHAN REDDY)
(a): The country has witnessed a big leap in overall coal production from 730.87 MT in FY
2019-20 to 1047.52 MT in FY 2024-25 with a growth of 43.32%. The coal produced by Coal
India Limited (CIL), Singareni Collieries Company Limited (SCCL) and Captive &
Commercial from 2019-20 is as under:
[Figures in Million Tonnes (MT)]
Company 2019-20 2020-21 2021-22 2022-23 2023-24 2024-25
CIL 602.13 596.22 622.63 703.20 773.81 781.06
SCCL 64.04 50.58 65.02 67.14 70.02 69.01
Captive & Commercial 64.70 69.29 90.56 122.85 154.00 197.46
Total 730.87 716.09 778.21 893.19 997.83 1047.52
The details of coal import in the country from 2019-20 are given below: -
(Figure in MT)
Year 2019-20 2020-21 2021-22 2022-23 2023-24 2024-25
Import of Coal
248.54 215.25 208.63 237.67 264.53 243.62
[in Million Tonnes MT)]The import of coal has declined by 7.9% in FY 25 as compared to FY 24 resulting in forex
savings of Rs 60681.67 Cr. The import includes high grade metallurgical coal (coking coal)
which is not available in the country, and for plants which are mainly designed to use import
grade coal. The Government is committed to reduce import of all substitutable grade coal. The
focus of the Government is on increasing the domestic production of coal and to reduce non-
essential coal imports.
The share of coal imports of the total coal consumption in the country has reduced from 26 %
in FY 2019-20 to 19.19 % in FY 2024-25. As per the current import policy, coal is kept under
Open General License (OGL) and consumers are free to import coal from the source of their
choice as per their contractual prices on payment of applicable duty.
(b): Improvement in coal supplies by the coal companies are facilitated through construction
of dedicated railway line projects and First Mile Connectivity (FMC) Projects. FMC Projects
have been deployed for transportation of coal from mines to railway sidings through conveyor
belts and loading into railway wagons through rapid loading arrangement, minimizing loading
time and manual intervention. Coal supplies through coal linkage auctions, carried out online
on an e-auction platform, have transformed the coal linkage allocation mechanism to a
transparent process.
(c): Currently, there is an operational coal gasification project set up by M/s Jindal Steel
Limited (JSL) at Angul district, Odisha. The Government has launched the National Coal
Gasification Mission to promote coal/ lignite gasification projects for cleaner use of coal/
lignite and to substitute imports of chemicals, petrochemicals and fertilisers. New projects are
being implemented by CIL, SCCL as well as the private sector.
Ministry of Petroleum & Natural Gas (MoP&NG) through notification dated 08.05.2018 issued
consolidated terms and conditions for grant of exploration and exploitation rights for Coal Bed
Methane (CBM) to Coal India Limited and its Subsidiaries. In line with this, CBM projects
have been identified by CIL for CBM development and production in the subsidiary mining
lease hold of CIL. Further, two CBM Blocks have been awarded to the consortium of CIL and
ONGC.
A carbon capture and utilisation (CCU) project approved by CIL has been started with the
support of Jawaharlal Nehru Centre for Advanced Scientific Research (JNCASR), Bangalore,
as principal implementing agency.
(d): By implementing rehabilitation and resettlement (R&R), developing infrastructure for
water, roads, schools etc and land restoration as per Mine Closure Plan, Mining operations have
become socially acceptable, environmentally sustainable, and operationally stable.
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