India's coal auctions to generate ₹47,500 crore in annual revenue

India's Coal Ministry announced that 147 commercial coal blocks auctioned across nine states since 2020 are projected to generate approximately ₹47,500 crore in annual revenue. These auctions are expected to attract ₹55,000 crore in capital investment and create roughly 490,000 jobs.

Following the Supreme Court's 2014 cancellation of 204 coal block allocations, the sector transitioned to a transparent, rules-based auction process. Commercial coal output has seen significant growth, rising from 12.55 million tonnes in FY24 to 23.51 million tonnes in FY25. Combined captive and commercial coal production reached approximately 210 million tonnes in FY26.

The current fiscal framework, supported by the Mines and Minerals (Development and Regulation) Amendment Act 2026, establishes uniform rules and limits states from imposing new taxes on mineral rights. The auction regime has attracted 44 new companies and allows 100 per cent foreign direct investment through the automatic route.