India Produces Record 1,040 MT Coal, Maintains 80-Day Stockpile: Kishan Reddy

With the monsoon season setting in across much of the country, the Centre has assured citizens that India is well-prepared to meet its electricity needs, backed by coal reserves sufficient for nearly 80 days of power generation .

Speaking at a press conference in Hyderabad on Monday, Union Minister for Coal and Mines G. Kishan Reddy said the government had taken advance measures to build up coal inventories, ensuring uninterrupted electricity supply even if heavy rains temporarily affect mining operations and transportation networks.

The minister said coal production often faces challenges during the monsoon due to flooding, logistical disruptions and difficult mining conditions. However, acting on the directions of Prime Minister Narendra Modi , the government has maintained substantial stockpiles to prevent any fuel shortage at thermal power plants.

“India will not face any power crisis. Adequate coal stocks have already been secured to meet demand during the rainy season,” he said.

Highlighting the transformation of the coal sector over the past decade, Kishan Reddy said a series of reforms introduced by the NDA government had helped boost domestic production and strengthen the country’s energy security. He noted that India is currently producing a record 1,040 million tonnes of coal annually , making it the world’s second-largest coal producer and consumer .

The coal industry today provides direct employment to around five lakh people , while another 25 lakh jobs are supported indirectly through allied sectors. Across the broader mining industry, nearly 50 lakh workers are engaged in various activities, he added.

The minister also pointed out that India possesses some of the world’s largest coal reserves and that Coal India Limited continues to be the largest coal-producing company globally. Despite the rapid growth of renewable energy, coal remains the backbone of the country’s power sector, accounting for nearly 70 percent of electricity generation .

Looking ahead, Kishan Reddy said the government is placing significant emphasis on coal gasification , a technology that converts coal into synthetic gas for the production of cleaner fuels, fertilisers, chemicals and hydrogen. The results of several ongoing projects are expected to become visible within the next two years.

To accelerate investment in the sector, the Centre plans to conduct roadshows in major cities, including Hyderabad and Mumbai . The Union Cabinet has already approved a ₹37,500-crore incentive package to support coal gasification initiatives. According to the minister, the technology could help reduce India’s dependence on imports of LPG, urea and methanol , while insulating the economy from fluctuations in global commodity prices.

Kishan Reddy also highlighted the government's efforts to secure supplies of critical minerals , which are essential for emerging technologies, clean energy systems and advanced manufacturing. Exploration activities have begun in mineral blocks acquired by India in Argentina , while auction processes are underway for several domestic deposits.

On the environmental front, the minister announced that the Centre has launched a programme to scientifically close around 143 abandoned coal mines across the country. The initiative aims to improve safety standards, restore degraded land and minimise environmental risks, with the entire exercise targeted for completion by 2028 .

The announcements underscore the government’s broader strategy of balancing energy security , industrial growth and sustainable resource management as India’s economy continues to expand and demand for reliable power rises.