India’s coal production witnessed a significant rise by 8.5 percent to 73.14 million tonnes (MT) during April 2023. In April 2022, the country’s overall coal production was at 67.20 MT, according to the ministry of coal.

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The data showed that India achieved 94.89 percent of the 77.08 MT production target for April 2023. Coal India Ltd (CIL), along with its subsidiaries reported production of 57.57 MT in April 2023 compared to 53.47 MT in April 2022, representing an increase of 7.67 percent.

The coal production of Singareni Collieries Company Ltd (SCCL) rose by 4.77 percent to 5.57 MT, from 5.32 MT in the same month a year ago. While the production from other captive mines was at 10 MT, against 8.41 MT in April 2022, registering a rise of 18.93 percent.

The total coal despatch (supply) has registered a growth of 11.66 percent, from from 71.96 MT during April 2022 to 80.35 MT in April 2023, against the 82.26 MT target for this year. The despatch to power utilities rose by 6.66 percent to 65.41 MT last month, as compared to 61.33 MT in April last year.

Also Read: India's coal production rises 22.6% in 5 years in 2023

This is mainly due to the initiatives taken by the ministry to augment rail connectivity infrastructure for all major mines under PM Gati Shakti to ensure faster evacuation.

With an objective to enhance coal availability, the coal ministry has offered 103 coal/lignite blocks for auction under the 7th round of auction, and 29 agreements have been signed for mines, which were auctioned in the 6th round of auction.

With a focus on becoming self-reliant, India has decided a target to produce 1,012 million tonnes (MT) of coal this financial year (FY24). According to the action plan prepared by the coal ministry, the capex target for FY24 is Rs 21,030 crore (CIL: Rs 16,500 crore, NLCIL: Rs 2,880 crore and SCCL: Rs 1,650 crore). The overall projected target of the asset monetisation plan for FY24 is Rs 50,118.61 crore.

India is among the top five coal-producing countries in the world. However, some parts of its coal requirement are met through imports as the country is also among the major consumers of the dry fuel.

For coking coal, the country remains heavily dependent on imports, as the key raw material used in steel making, is not available in the country in sufficient amounts.

India produced just 4.89 MT coking coal in April, 18.07 percent higher from over 4.14 MT in April 2022.

Also Read: India targets 1,012 million tonnes of coal production this fiscal