Lok Sabha Question No. 6181 (UNSTARRED), answered on 2026-04-01
Subject: Transparency in Coal Block Auction
Ministry: COAL
Asked by: Dr. M P Abdussamad Samadani

## GOVERNMENT OF INDIA MINISTRY OF COAL

## LOK SABHA UNSTARRED QUESTION NO.6181

ANSWERED ON 01.04.2026

## TRANSPARENCY IN COAL BLOCK AUCTION

## 6181. DR. M P ABDUSSAMAD SAMADANI:

Will the Minister of COAL be pleased to state:

(a)  the  manner  in  which  the  Government  is  ensuring  transparency  and  efficiency  in  coal block auctions;

(b)  the  steps  being  taken  by  the  Government  to  reduce  coal  transportation  bottlenecks and improve supply chain efficiency; and

(c) the manner in which the labour disputes and working conditions in coal mines being addressed?

## ANSWER

## MINISTER OF STATE FOR COAL AND MINES (SHRI SATISH CHANDRA DUBEY)

(a)   Transparency  and  efficiency  is  institutionally  embedded  through  a  rule-based  auction framework  under  the  Coal  Mines  (Special  Provisions)  Act  and  the  Mines  and  Minerals (Development and Regulation) Act. Auctions are conducted entirely online through the secure online platform of MSTC Ltd., a Public Sector Undertaking under the Ministry of Steel, with clear eligibility criteria, predefined revenue-sharing bids, public disclosure of tender documents, and time-stamped bid submissions to limit discretion. Details of qualified bidders, auction outcomes, and allocations are placed in the public domain.

Provision  exist  for  cancellation  of  coal  blocks  in  cases  of  misrepresentation,  and debarment  from  future  auctions  acts  as  a  deterrent.  Strengthening  real-time  scrutiny  and enforcing penalties decisively are critical to ensuring that private participation in commercial coal mining remains competitive and transparent.

(b) The Ministry of Coal has undertaken a series of strategic, infrastructural, and technological measures to reduce coal transportation bottlenecks and enhance supply chain efficiency across the country. Key steps include:

- Rail Infrastructure Expansion in coordination with the Ministry of Railways, to ensure seamless future coal movement:
- First  Mile  Connectivity  (FMC)  Projects to  enable  faster,  environment-friendly,  and cost-effective transportation by reducing dependence on road transport.

- Increased use of coastal shipping and inland waterways is being promoted to diversify transportation modes and reduce pressure on rail networks.
- The  Ministry  of  Coal  has  launched  the  Koyla  Shakti  dashboard  on  29.10.2025,  a centralised digital platform for real-time tracking, improved coordination, and efficient decision-making in coal movement.

(c) Labour disputes and working conditions in coal mines are addressed through a combination of statutory frameworks  and  institutional mechanisms. Industrial Disputes Act, 1947, complemented  by  structured  bipartite  and  tripartite  consultative  mechanisms  are  being followed including conciliation proceedings through designated authorities, adjudication by Labour Courts/Industrial Tribunals, and regular engagement with trade unions through Joint Consultative Committees at various levels.

Working conditions, safety and welfare are regulated under the Occupational Safety, Health and  Working  Conditions  Code,  2020  and  the  Social  Security  Code,  2020,  which  mandate standards  relating  to  occupational  safety,  health  surveillance,  welfare  amenities  and  social security benefits for mine workers. Safety and working conditions are continuously monitored through statutory safety committees, welfare boards and periodic meetings between management and workers' representatives. Further, safety and occupational health standards are  enforced  by  the  Directorate  General  of  Mines  Safety  (DGMS)  through  inspections, compliance monitoring and enforcement of statutory provisions under the Mines Act, 1952 and the Coal Mines Regulations, 2017.

Thus, a comprehensive and multi-tiered framework exists to ensure effective resolution of  labour  disputes  and  maintenance  of  safe  and  humane  working  conditions  in  coal  mines across the country.

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