In a major boost to India’s energy sector, the Ministry of Coal has successfully completed the 12th round of coal block auctions for commercial mining. The forward auctions, held from July 28 to July 31, resulted in the allocation of seven coal blocks across Jharkhand and Chhattisgarh.
This marks another strong step toward making India self-reliant in coal production and reducing dependency on imports.
Key Auction Highlights
The auctioned blocks include three fully explored and four partially explored coal blocks. Together, these hold a massive geological reserve of 1,761.49 million tonnes. The cumulative Peak Rated Capacity (PRC) for fully explored blocks stands at 5.25 MTPA.
The auctions witnessed robust participation and intense bidding competition. The average revenue share touched 26.70%, reflecting high industry confidence.
Who Won What: Block-Wise Auction Results
The coal blocks were won by a mix of public and private sector companies. Here’s a quick look:
| Block Name | State | Winning Bidder | Reserve (MT) | Final Offer (%) |
|---|---|---|---|---|
| Chitarpur (Revised) | Jharkhand | Orissa Alloy Steel Pvt Ltd | 237.44 | 14.75 |
| Mahuagarhi | Jharkhand | Damodar Valley Corporation | 305.95 | 7.00 |
| Rajgamar Dipside (Deavnara) | Chhattisgarh | TMC Mineral Resources Pvt Ltd | 78.46 | 31.50 |
| Rajgamar Dipside (Phulakdih Nala) | Chhattisgarh | Mivaan Steels Ltd | 61.70 | 31.50 |
| Cholapathar | Jharkhand | Shakti Bhumi Mining Pvt Ltd | 25.00 | 27.25 |
| Phutamura | Chhattisgarh | Alom Solar Pvt Ltd | 170.54 | 65.25 |
| West of Tubed | Jharkhand | Oriental Quarries & Mines Pvt Ltd | 882.40 | 9.50 |
Economic Impact and Investment
These seven coal blocks are expected to generate an estimated ₹719.90 crore in annual revenue. Additionally, they will attract a capital investment of approximately ₹787.50 crore.
On the employment front, these projects are likely to create 7,098 direct jobs in coal-bearing regions—providing a much-needed boost to local economies.
Long-Term Benefits Since Commercial Mining Began
Since the introduction of commercial coal mining in 2020, the Ministry has successfully auctioned 131 coal blocks. These have a combined production capacity of 277.31 million tonnes per annum (MTPA).
When fully operational, these blocks are expected to:
- Generate ₹39,359 crore in annual revenue
- Bring in ₹41,597 crore in capital investment
- Create 3.74 lakh employment opportunities
These statistics highlight the sector’s growing role in supporting economic growth and fulfilling the vision of Atmanirbhar Bharat.
Transparent and Stable Policy Framework
The Ministry’s consistent efforts toward transparent bidding processes and stable policies have increased investor trust. The 12th auction round reflects that trust, with competitive bids far exceeding the reserve prices.
For instance, the Phutamura block secured a final bid of 65.25%, well above the base reserve price of 4%, showcasing healthy competition and strong demand for coal resources.
Focusing on Non-Coking Coal
All seven blocks auctioned in this round are non-coking coal blocks. Non-coking coal plays a crucial role in power generation and other industrial uses. By auctioning these blocks, the government ensures fuel security for industries and thermal power plants.
Driving India Toward Energy Security
Coal continues to be the backbone of India’s energy supply, accounting for over 70% of electricity generation. By ramping up domestic coal production through commercial mining, the government aims to meet growing energy demands sustainably.
This will reduce dependence on costly imports and make India more self-reliant in the energy domain.
A Strategic Push for Growth
These auctions are not just about coal—they’re about infrastructure, employment, rural development, and national progress. The Ministry of Coal has reaffirmed its mission to turn coal mining into a growth engine for India’s economy.
From exploration to employment, each auctioned block contributes to creating an industrial ecosystem in its respective region.
Looking Ahead
The Ministry plans to continue this momentum in future auction rounds. With more blocks being identified and evaluated, the opportunities for investment and employment are only set to grow.
Through initiatives like these, India takes confident steps toward a robust and resilient energy future.
