Current Affairs
Mains issueGS-3PIB Daily05 August 2026

REFORMS IN COAL SECTOR

Source: pib.gov.inOriginal report

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Why now

01

The article details the comprehensive structural and procedural reforms undertaken by the Indian government in the coal sector over the last five years. Key changes include a shift from allotment to open competitive auction for coal blocks, opening commercial coal mining in 2020, and initiatives for efficiency, ease of doing business, and technology adoption. The reforms also emphasize environmental sustainability through bio-reclamation and blast-free mining. India's domestic coal production has significantly increased, crossing 1 Billion Tonnes for two consecutive years. An Integrated Coal Logistics Plan and First Mile Connectivity (FMC) projects are underway to improve multimodal logistics. Additionally, the Coal Exchange Rules, 2026, have been notified to establish a regulated online trading platform for coal.

Core issue

02

The article details the comprehensive structural and procedural reforms undertaken by the Indian government in the coal sector over the last five years. Key changes include a shift from allotment to open competitive auction for coal blocks, opening commercial coal mining in 2020, and initiatives for efficiency, ease of doing business, and technology adoption. The reforms also emphasize environmental sustainability through bio-reclamation and blast-free mining. India's domestic coal production has significantly increased, crossing 1 Billion Tonnes for two consecutive years. An Integrated Coal Logistics Plan and First Mile Connectivity (FMC) projects are underway to improve multimodal logistics. Additionally, the Coal Exchange Rules, 2026, have been notified to establish a regulated online trading platform for coal.

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