Key Points

In a written reply to a question in the Rajya Sabha, the minister said that the total coal imported into the country during 2024-25 was 243.62 million tonnes (MT), whereas, in 2023-24, it was 264.53 MT.

He said that most of the requirement of coal in the country is met through indigenous production. The Ministry of Coal has set an ambitious domestic coal production target of about 1.5 billion tonnes by FY 2029-30. The focus of the Government is on increasing the domestic production of coal and reducing non-essential coal imports.

The Ministry of Coal also launched the Coal Logistic Plan and Policy in February 2024 to develop infrastructure for efficient coal evacuation in the country, considering increased coal production projection by FY 2029-30.

For reducing dependence on imported coal and promoting domestic production, the Government has facilitated allocation of coal blocks, encouraging private sector participation and streamlining the process for obtaining necessary approvals for coal mining projects. Additionally, the thrust is on increasing coal production by government coal companies by introduction of modern technologies like First Mile connectivity (FMC) and digitalisation, the minister explained.

He also said that in order to encourage consumption of domestic coal, an Inter-Ministerial Committee (IMC) was constituted for coal import substitution. IMC, through its various meetings, has identified Import Coal Based (ICB) plants where the supply of domestic coal may be examined. These plants have indicated their specific coal requirements and preferred CIL subsidiaries.

Besides, the government has been focusing on improving coal evacuation infrastructure. In line with Government of India directives, Coal companies have undertaken improvement in coal transportation and supply chain efficiency through construction of new Railway lines and First Mile Connectivity (FMC) projects in a phased manner.

He further stated that under the Government’s Revised Shakti Policy, 2025, the Imported Coal Based (ICB) Plants are allowed to secure coal under Window-II of the Policy, which has helped to increase the consumption of domestic coal.

- IANS