India's coal production likely to grow 6-7% annually over next few years: Kishan Reddy

New Delhi: Domestic coal production is expected to grow 6-7 per cent annually in the next few years to reach about 1.5 billion tonnes by 2029-30, Parliament was informed on Monday.

The country's coal demand is expected to continue rising and is expected to peak around 2040, Union Minister for Coal and Mines G Kishan Reddy said in a written reply to the Rajya Sabha.Also Read: India seeks to cut power sector coal imports by 30% this year, sources say

The Minister informed the house that "There is no scenario of transition away from coal that would impact workers and communities associated with coal mining in the short and medium time frame.


India is presently augmenting its domestic coal production to meet the increasing energy requirements of the country.

To meet the future demand of coal through indigenous sources and to reduce non-essential import of coal, domestic coal production is expected to grow by 6-7 per cent annually in the next few years to reach about 1.5 billion tonnes by 2029-30, the Minister.

In 2024-25, India's coal production stood at about 1,047.69 MT, he said.

However, the sector also faces several challenges, Reddy said.Also Read: Coal exchange rollout should be in phases: Coal India Limited

The rapid growth of renewable energy sources, with the declining cost of solar and wind power, has resulted in the accumulation of pit-head coal stock, he said.

Besides depletion of reserves at shallow and medium depths, and techno-economic viability issues in the extraction of coal beyond 300 metre depth are also a challenge.

There are also challenges in land acquisition and taking physical possession of tenancy land due to authentication issues of land records and resistance from landowner.