Page 77 - Policy Economic Report - September 2026

POLICY AND ECONOMIC
OIL & GAS MARKET

The CMDPAs were executed for Tara (Revised), Margo West, Margo East, Mandla South, Dongeri Tal-
II and Dip Side of PKoC. The successful bidders include CG Syn-Gas & Chemicals Ltd., Jharkhand
Exploration & Mining Corporation Limited, Qube Commercial Pvt. Ltd., Gallant Ispat Ltd. and The
Singareni Collieries Limited.

The six mines together have geological reserves of approximately 1,504 million tonnes and a
combined Peak Rated Capacity of 11.62 MTPA. Once operational, they are expected to generate
annual revenue of around ?1,984 crore, attract capital investment of nearly ?1,743 crore and create
approximately 15,700 employment opportunities in the respective coal-bearing regions.

The 16th round offers 25 coal blocks, comprising 21 fully explored and four partially explored mines,
across nine coal-bearing states—Arunachal Pradesh, Bihar, Chhattisgarh, Jharkhand, Madhya
Pradesh, Maharashtra, Odisha, Telangana and West Bengal. Of these, six coal mines are offered under
the Coal Mines (Special Provisions) Act (CMSP) and 19 under the Mines and Minerals (Development
and Regulation) Act (MMDR). The blocks are open to experienced mining companies, new entrants
and technology-driven enterprises under the liberal commercial coal mining framework, which
provides for no end-use restrictions, 100% FDI through the automatic route and low upfront payments
adjustable against future revenue share.

With the launch of this round, the commercial coal mining programme has now completed sixteen
rounds since Prime Minister Shri Narendra Modi opened the sector to commercial mining in 2020. A
total of 147 coal mines have been auctioned to date, with cumulative expected annual revenue of
over ?47,500 crore and projected capital investment of more than ?55,000 crore across nine coal-
bearing states.

Addressing the launch of the 16th Tranche of Commercial Coal Mine Auctions in New Delhi, MoS for
Coal & Mines, Shri Satish Chandra Dubey, highlighted coal’s vital role in powering India’s growth,
meeting around 55% of the country’s primary energy requirement and over 70% of its electricity
generation. Under the guidance of Prime Minister Shri Narendra Modi, he underlined the remarkable
growth in coal production, which has crossed the 1 billion tonne mark for the second consecutive
year, reflecting the strength of India’s domestic coal sector and its growing contribution to energy
security.

Shri Dubey highlighted the Government’s efforts to transform the coal sector through greater
transparency, competition and technology-enabled processes. He emphasised the importance of
providing a level playing field for stakeholders and creating a conducive environment for investment
and wider participation in commercial coal mining. He underscored the need to unlock India’s
domestic coal resources, enhance production and reduce dependence on imports, while ensuring
efficient and sustainable utilisation of the country’s coal reserves. He also called upon stakeholders to
actively participate in the commercial coal mine auction process and contribute to strengthening
India’s energy security.

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