India’s annual coal output surpasses 1 billion tonne mark

This landmark achievement coincides with a notable 8.4% drop in coal imports between April and December 2024, saving $5.43 billion in foreign exchange and strengthening India’s self-reliance.

India has achieved a historic breakthrough by surpassing one billion tonnes of coal production in the financial year 2024-25, reaching 1047.57 million tonnes (provisional)—an impressive 4.99% growth over last year’s 997.83 MT. The milestone was achieved 11 days ahead of the previous fiscal, reflecting the coal sector’s robust growth and its central role in India’s energy security.

This landmark achievement coincides with a notable 8.4% drop in coal imports between April and December 2024, saving $5.43 billion in foreign exchange and strengthening India’s self-reliance. Despite rising demand, especially in thermal power generation which grew 3.53%, the country’s import dependence continues to shrink thanks to increased domestic production and strategic initiatives like Commercial Coal Mining and Mission Coking Coal.

The coal sector remains a cornerstone of India’s power generation, fueling over 74% of the electricity and contributing 55% to the national energy mix. It also sustains vital industries such as steel and cement, underlining its continued economic relevance. Additionally, coal supports nearly 5 lakh workers across 350+ mines and significantly boosts government revenues, contributing over ₹70,000 crore annually through royalties, GST, and levies.

Coal India Ltd (CIL) and other entities also reported a surge in commercial and captive coal production, growing 28.11% year-on-year. Coal dispatch reached 1024.99 MT in FY 2024-25—up 5.34% from the previous year—with commercial and captive dispatch rising 31.39%.

In alignment with India’s sustainable energy vision, the government is promoting coal gasification through ₹8,500 crore in financial incentives. CIL has partnered with BHEL and GAIL to establish joint ventures for syngas production, which can be utilised to manufacture methanol, fertilisers, and synthetic natural gas.

Safety and environmental stewardship remain a key focus. The Ministry of Coal has introduced annual audits, launched a National Safety Portal, and adopted advanced technologies like real-time mine monitoring, blast-free mining methods, and VR-based operator training to ensure worker welfare and operational efficiency.

With coal expected to remain integral to India’s energy mix—projected at 55% by 2030 and 27% by 2047—this milestone marks a significant step toward a resilient, self-reliant energy future aligned with the “Viksit Bharat” (Developed India) vision.