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PM Modi launches auction process, 41 coal blocks up for commercial mining

News Desk: With an aim to achieve self-sufficiency in meeting energy needs and boost industrial development, Prime Minister Narendra Modi on Thursday launched the auction process for 41 coal blocks for commercial mining.

The launch of the auction process not only marks the beginning of unlocking of the country’s coal sector from the lockdown of decades, but aims at making India the largest exporter of coal, the Prime Minister said.

PM Modi pointed out that despite being the world’s fourth largest producer, India is the second largest importer of the dry-fuel. He also informed that this auction process will result in major revenues to states and create employment besides developing the far-flung areas.

The move open doors for private parties in India’s coal sector. This can be seen as a major step forward in making India self-reliant in the energy sector.

The commercial mining of these coal blocks is expected to garner around INR 33,000 crore of capital investment in the country over the next five to seven years, the coal ministry informed in a statement. The move is set to contribute INR 20,000 crore revenue annually to the state governments.

The government also said that on attainment of peak rated capacity of production of 225 million tonnes, these mines will contribute about 15 percent of the country’s projected total coal production in 2025-26.

Image Source: Internet

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