Centre to open 16th commercial coal mine auction round on September 17
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The Centre will open the 16th round of commercial coal mine auctions on September 17, with the Ministry of Coal putting a fresh batch of coal blocks up for bidding as it seeks to expand private participation in domestic mining.
The auction will be launched in New Delhi in the presence of Minister of State for Coal and Mines Satish Chandra Dubey, the ministry said in a press release on Wednesday.
The latest offering will include fully explored and partially explored coal blocks. Companies will be allowed to mine coal without restrictions on its end use.
Foreign investors will also be eligible to participate, with 100% foreign direct investment permitted through the automatic route. Upfront payments can be adjusted against future revenue share, a provision aimed at easing entry into coal mining.
The latest round follows 15 commercial coal auctions since the policy was introduced in 2020. So far, 147 mines have been auctioned, with 44 new companies entering the coal mining sector.
The auctioned mines are estimated to generate around Rs 47,500 crore in annual revenue and attract nearly Rs 55,000 crore in capital investment. They are also expected to create around 4.9 lakh jobs across coal-producing states.
The ministry expects the new auction round to increase domestic coal availability, reduce dependence on imports and support India’s broader energy security goals.