India's commercial coal production rises nearly 29% in April

New Delhi: India’s coal production from captive and commercial mines increased 28.88% in April 2025 to 14.01 million tonnes (MT) compared to the corresponding period last year.

In April last year, the production from captive and commercial mines stood at 10.87 MT.

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In a statement on Friday, the Union coal ministry attributed this growth in production to policy interventions, close monitoring, and handholding of stakeholders to fast-track operational clearances and enhance production capacity.

Growth contributors

A key contributor to the growth was the commencement of operations in two newly developed coal blocks during the month, it said. The new blocks are Kotre Basantpur Pachmo block of Central Coalfields Ltd (CCL), which has a peak rated capacity (PRC) of 5 MT per annum, which started operations on 15 April 2025 and the Naini coal block of Singareni Collieries Co. Ltd (SCCL), with a peak rated capacity of 10 MT per annum, commenced operations on 16 April. Peak rated capacity refers to the maximum production capacity of a mine.

Further, last month the quantum of coal dispatched from mines was 16.81 MT, 15.6% higher last year than 14.54 MT in April 2024.

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On Wednesday, the ministry had announced that India’s overall coal production in April rose 3.6% in April to 81.6 MT compared to the same period last year.

Commercial and captive coal mines have been registering an increase in production since the sector was opened up for commercial mining by private players in 2020. In the last financial year (FY25), the commercial and captive mines recorded a cumulative production of 197.50 MT, with a 28.1% growth over FY24.

The overall coal production in the country crossed the 1 billion tonnes mark in FY25 for the first time.

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Since the sector's opening and the launch of commercial coal mining in June 2020, 125 mines have been auctioned in 11 rounds. The 125 mines have a peak rated capacity of 273.06 MT. According to the coal ministry, once operationalized, these mines are projected to generate an annual revenue of ₹39,000 crore.

In March 2025, the government launched the 12th round of commercial coal mine auctions, offering 25 mines across seven states. Of the 25 mines on offer, 12 are partially explored, while 13 are fully explored.