Lok Sabha Question No. 2893 (UNSTARRED), answered on 2025-12-17
Subject: Domestic Coal Production and Import
Ministry: COAL
Asked by: Shri Balram Naik Porika

## GOVERNMENT OF INDIA MINISTRY OF COAL LOK SABHA UNSTARRED QUESTION NO. 2893

## TO BE ANSWERED ON 17.12.2025

## Domestic Coal Production and Import

## 2893.  Shri Balram Naik Porika:

Will the Minister of COAL be pleased to state:

- (a) the details of domestic coal production in the country during the last two years along with the total production achieved against the set target, month-wise;
- (b)  the  details  of  coal  imports  by  the  power  sector  and  non-power  sectors  including  steel, cement and other industries during the same period along with the total imports against the projected requirements, month-wise;
- (c)  whether  the  Government  has  declared  the  country  as  having  a  surplus  status  in  coal production and if so, the details of basis and parameters used for such declaration;
- (d)  the  reasons  for  the  continued  high  levels  of  coal  imports  by  the  power  and  non-power sectors despite the declared surplus status including any sector-specific factors such as quality mismatches, logistical challenges or demand surges; and
- (e) the steps taken or proposed to be taken by the Government to reduce import dependence in coming years?

## ANSWER MINISTER OF COAL AND MINES (SHRI G. KISHAN REDDY)

- (a): The details of domestic coal production in the country during the last two years against the set target is as under:

| Year       |   Annual Plan Target |   [Figures in Million Tonnes] Production Achieved |
|------------|----------------------|---------------------------------------------------|
| FY 2023-24 |                 1012 |                                           997.826 |
| FY 2024-25 |                 1080 |                                          1047.52  |

The month-wise domestic coal production during the last two years is as under:

## [Figures in Million Tonnes]

| Month   |   FY 2023-24 |   FY 2024-25 |
|---------|--------------|--------------|
| April   |       73.424 |       78.704 |
| May     |       76.412 |       83.968 |
| June    |       73.927 |       84.802 |
| July    |       69.58  |       73.964 |
| August  |       67.754 |       62.656 |

| September   |   67.259 |   68.859 |
|-------------|----------|----------|
| October     |   78.572 |   84.599 |
| November    |   84.56  |   90.762 |
| December    |   92.988 |   97.952 |
| January     |  100.068 |  104.432 |
| February    |   96.606 |   98.304 |
| March       |  116.676 |  118.52  |
| Total       |  997.826 | 1047.52  |

(b): The details of coal imports by the power sector and non-power sectors (including steel, cement and other industries) during the last two years is as under:

## [Figures in Million Tonnes]

|            | Power Sector   | Power Sector   | Non Power Sector                               |        |
|------------|----------------|----------------|------------------------------------------------|--------|
| Year       | DCB*           | ICB#           | (including steel, cement and other industries) | Total  |
| FY 2023-24 | 23.92          | 41.8           | 198.8                                          | 264.52 |
| FY 2024-25 | 14.02          | 48.55          | 181.06                                         | 243.63 |

* DCB - Domestic coal based power plants for blending purpose

# ICB - Imported coal based power plants (designed on imported coal)

The month-wise coal imported during the last two years is as under:

## [Figures in Million Tonnes]

| Month     |   FY 2023-24 |   FY 2024-25 |
|-----------|--------------|--------------|
| April     |       20.015 |       22.416 |
| May       |       27.905 |       25.035 |
| June      |       22.947 |       21.086 |
| July      |       18.815 |       21.809 |
| August    |       19.13  |       20.689 |
| September |       18.97  |       18.327 |
| October   |       26.392 |       19.866 |
| November  |       23.451 |       18.738 |
| December  |       22.565 |       15.29  |
| January   |       20.996 |       22.209 |
| February  |       21.381 |       17.86  |
| March     |       21.964 |       20.298 |

(c): The country is  moving towards a  coal  Atmanirbharta  scenario.  The  coal  stocks  at  the domestic coal based thermal power plants end as on 30.11.2025 was 50.52 MT as compared to 36.58 MT on the same day of last year with an increase of 38.11%. At the present level of actual consumption, this stock is sufficient for 23 days (2.17 MT/day consumption). The coal stocks at pit head end have also increased over the time. Pit-head stock of CIL and SCCL as on 30.11.2025 was 89.95 MT as compared to 71.84 MT of the same day of last year with an increase of 25.21%.

(d): 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. At present, most of the requirement of coal in the country is met through domestic production, however some high-grade coal like coking coal and low ash thermal coal is imported mainly by steel industry and imported coal based (ICB) power plants as  per  their  requirements. India's import of coal is  owing to various factors, including less reserves of coking coal and its quality.

(e): The steps taken by the Government to encourage use of domestically produced coal and to reduce coal import dependency are as under:

- i. The  Annual  Contracted  Quantity  (ACQ)  has  been  increased  upto  100%  of  the normative  requirement,  in  the  cases  where  the  ACQ  was  either  reduced  to  90%  of normative requirement (non-coastal power plants) or where the ACQ was reduced to 70% of normative requirement (coastal power plants). Increase in the ACQ would result in more domestic coal supplies, thereby, reducing the import dependency.
- ii. Vide amendment to the Non-Regulated Sector (NRS) linkage auction policy introduced in 2020, the tenure of coking coal linkages in the NRS linkage auction has been revised for a period upto 30 years. Increase in tenure of coking coal linkages in the NRS linkage auction for a period upto 30 years is expected to have a positive impact towards coal imports substitution.
- iii. Government decided in 2022 that coal to meet the full Power Purchase Agreement (PPA) requirement of all the existing linkage holders of Power Sector shall be made available by the coal companies irrespective of the trigger level and ACQ levels. This decision of the Government of meeting the full PPA requirement of the linkage holders of the Power Sector is expected to reduce dependence on imports.
- iv. A new sub-sector 'Steel using Coking coal through WDO route' has been created in March, 2024 under the NRS linkage auctions which will lead to increase in the domestic coking coal consumption and also increase availability of washed coking coal in the country, thereby, reducing coking coal imports.
- v. Coking Coal Mission has been launched to enhance coking coal supply to the Steel Sector to reduce imports of coking coal. Initiatives have been taken to enhance coking coal production.
- vi. Imported Coal Based (ICB) Plants have been allowed to secure coal under the Revised SHAKTI  Policy,  2025.  The  coal  availability  for  ICB  Plants  under  this  Policy  is expected to reduce dependence of these ICB plants on imported coal.
- vii. Existing Fuel Supply Agreement (FSA) holders have been allowed to secure coal under the  Revised  SHAKTI  Policy,  2025  after  procuring  100%  of  the  ACQ  coal  under existing FSA. Coal availability beyond the ACQ to existing FSA holders will benefit the power producers to meet the full requirement of the power plants.

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