Ranchi, July 27: Six years after the Centre opened coal mining to commercial operators, Jharkhand has emerged as the state with the highest number of commercial coal block allocations but has recorded only limited production, according to a written reply tabled in the Lok Sabha.
The reply, furnished by Union Minister of State for Coal and Mines Satish Chandra Dubey in response to a question by Chatra MP Kali Charan Singh, revealed that although 37 commercial coal blocks have been allotted in Jharkhand, the state produced only 0.35 million tonnes (MT) of coal through commercial mining during 2025-26.
The data highlights the slow pace of operationalisation of commercial coal mines in the state despite its vast mineral reserves.
According to the minister’s reply, the Centre has allocated 132 commercial coal blocks across the country through auctions. Of these, 23 have received mine opening permission, while 15 have commenced production. The remaining projects are at various stages of land acquisition, statutory clearances and infrastructure development.
The government noted that commercial coal production nationwide has risen significantly from 1.15 MT in 2021-22 to 26.12 MT in 2025-26. It said the commercial mining policy is intended to increase domestic coal production, reduce dependence on imports and strengthen India’s energy security under the Atmanirbhar Bharat initiative.
The reply also indicated particularly slow progress in the Chatra Lok Sabha constituency, where none of the eight commercial coal blocks allotted in the coal-bearing districts of Chatra, Hazaribag and Latehar has become operational so far.
The blocks include Chakla, Brinda, Sasai, North Dhadu, Seregarha and Chitarpur (Revised), among others, all of which remain at different stages of project development.
To expedite the operationalisation of commercial coal mines, the Centre said it has introduced several policy measures, including empanelling private exploration agencies, simplifying the approval process for geological reports, increasing the number of boreholes exempt from forest-clearance requirements, removing the requirement for mine opening permission from the Coal Controller’s Organisation, and declaring coking coal a critical and strategic mineral to facilitate faster statutory clearances.
The Lok Sabha reply underscored that while commercial coal production has expanded rapidly at the national level, Jharkhand’s commercial mining sector continues to lag behind despite receiving the largest share of coal block allocations.