With a conscious global and domestic shift toward renewable energy sources to meet growing energy needs and combat climate change, India’s coal sector is at a “turning point”, requiring evolution beyond traditional methods of operation, said the newly-appointed chairman of Coal India Limited (CIL), Sanoj Kumar Jha.
On his first day at CIL, which also marked the state-run miner’s 50th anniversary celebration, Jha addressed employees and stakeholders at the event in Kolkata on Saturday, and called for an “overhaul” of the miner’s business model and systems.
“The world is not the same as it was 50 years ago, when coal was the primary source of energy. Renewable energy and many other competitors have come up,” he said, while stressing on the significance of adapting to emerging production methods to stay relevant.
Jha, who is also Additional Secretary in the Ministry of Coal, noted that while CIL has already taken steps toward diversification over the last five to ten years, much more remains to be done.
“We have to change our entire system, all of our current business models, and the method of production. The minister constantly reminds us that Coal India and all PSUs must come out of the mindset that they can continue working in the same way,” he stated.
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CIL’s transformation roadmap, the chairman explained, includes three key strategic pillars – diversification beyond core mining, expansion of underground mining, and modernisation of logistics and technology.
CIL is already focused on coal gasification projects with plans to elevate underground mining.
“The company is targeting 100 million tonnes of production from underground operations by 2035 through upgraded technology, new equipment, and enhanced manpower training,” he said.
Coal India is also venturing into renewable energy projects, particularly solar and wind power, as well as the critical minerals sector, both domestically and abroad.
“CIL will continue contributing to the country’s growth, not just as a coal producer but as a responsible energy company aligned with the nation’s evolving needs,” he said, citing large-scale plantation drives and eco-restoration initiatives.
On operational modernisation, the chairman said CIL aims to mechanise almost all transport arrangements within the next four to five years under its ‘First Mile Connectivity’ initiative by deploying advanced technologies such as surface miners, continuous miners, and an integrated command and control centre (ICCC) to improve efficiency and real-time monitoring across mines.
India’s largest energy supplier, CIL currently meets around 55 per cent of the country’s energy demand. The company’s production has grown nearly 10-fold since its inception in 1975.
“The entire team is geared up to execute the vision of the coal minister and the Prime Minister, and we will meet their expectations regarding the new things happening in the country,” he said.
‘Underground Coal Gasification’ to gasify 100 million tonne of coal by 2030
For the first time, the government brought in underground coal gasification specific provisions within the auction framework in the 14th round of sale of mines.
Underground Coal Gasification (UCG) is aimed at harnessing the country’s deep-seated coal reserves that are otherwise un-mineable through conventional methods.
The 14th round of commercial coal mine auctions was launched last week, with Coal and mines minister, G Kishan Reddy, as the chief guest.
This initiative is expected to reduce dependence on imported natural gas and crude oil while unlocking new avenues for investment, technological advancement, and employment generation across related sectors as it targets gasification of 100 million tonnes of coal by 2030.
The commercial coal mine auction launched in 2020 has played a key role in ramping up the domestic production of fossil fuel and ensuring a reliable supply to meet the nation’s growing energy needs.
The ministryalso launched two digital platforms: the CLAMP and Koyla Shakti portals, during the event.
The Coal Land Acquisition, Management and Payment (CLAMP) Portal is a unified digital platform developed to streamline and digitise processes related to land acquisition, compensation, and rehabilitation & resettlement (R&R) in the coal sector.
The Koyla Shakti Dashboard is a digital platform designed to revolutionise the coal sector through enhanced transparency, efficiency, and real-time coordination.
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