India’s Coal & Mineral Sectors Driving Green Growth and Energy Security: Reddy

Union Minister of Coal & Mines, Shri G. Kishan Reddy, has reaffirmed that under the leadership of Prime Minister Shri Narendra Modi, India’s coal and mineral sectors are undergoing a historic transformation—balancing the country’s rising energy demand with ambitious sustainability and green growth targets. He was speaking at the Energy Leadership Summit, organized by the Economic Times, where he outlined the government’s roadmap for making the sector a cornerstone of Viksit Bharat 2047.

Record Coal Production and Rising Demand

The Minister noted that coal production and dispatch crossed 1 billion tonnes in 2024-25, a record achievement for India’s energy sector. With demand projected to reach 1.6 billion tonnes by 2030, he said coal would remain central to India’s energy security. However, he stressed that the sector is being redefined as a driver of sustainability and green growth.

He highlighted the Coal Gasification Mission, which aims to achieve 100 million tonnes by 2030, backed by an ₹8,500 crore incentive scheme. Already, seven projects are underway, reflecting the government’s commitment to cleaner coal utilization and alternative energy pathways.

Diversification into Renewable Energy

Coal Public Sector Undertakings (PSUs) are diversifying into renewables to align with India’s climate commitments. Collectively, they have already added 1,900 MW of solar and wind capacity, with an ambitious target of 15 GW by 2030.

The Neyveli Lignite Corporation (NLC) alone has set a target of 10.11 GW renewable capacity, making it a leader among state-owned enterprises in the transition to green energy. Shri Reddy said this diversification not only reduces carbon footprints but also enhances energy resilience by broadening India’s energy mix.

Environmental Stewardship: Mission GREEN Coal Regions

Addressing environmental concerns, the Minister highlighted land reclamation efforts, stating that over 57,000 hectares of mined land have already been reclaimed. An additional 16,000 hectares will be restored by 2030 under Mission GREEN Coal Regions.

He stressed that these measures go beyond compliance and reflect a new environmental ethos in India’s coal sector, transforming degraded landscapes into productive ecosystems while supporting local communities through afforestation and livelihood initiatives.

Mining Reforms and Exploration Drive

On mining reforms, Shri Reddy underlined that 542 mineral blocks have been auctioned so far, including 34 critical minerals vital for India’s high-tech and clean energy future.

For the first time, private and junior exploration agencies have been brought into the process, supported by drone surveys, AI-driven modelling, and remote sensing technologies that accelerate exploration. So far, 13 exploration licenses have been awarded, marking the beginning of a new era of technology-driven mining.

Critical Minerals and Global Mineral Diplomacy

Highlighting India’s global presence, the Minister said that under the National Critical Minerals Mission, the country is securing key resources to support its clean energy transition and industrial growth.

• Strategic stockpiles of critical minerals are being built to reduce import dependence.

• KABIL (Khanij Bidesh India Limited) has acquired lithium blocks in Argentina, ensuring access to one of the most crucial elements for electric mobility and battery storage.

• Nodal officers abroad are strengthening India’s mineral diplomacy, forging partnerships to secure critical resources.

• A ₹1,500 crore incentive scheme for recycling critical minerals has been launched to promote circular economy practices.

• New Centres of Excellence will foster domestic R&D and advanced technologies in mineral processing and recycling.

Towards Viksit Bharat 2047

Concluding his address, Shri Reddy reiterated the Prime Minister’s vision: “The goal is clear—to build a Viksit Bharat by 2047, a developed, prosperous, and self-reliant India. The coal and mineral sectors will be at the heart of this journey, powering our economy, driving innovation, and ensuring sustainable growth.”

By aligning resource development with sustainability, technology, and global partnerships, India is positioning its coal and mineral sectors as drivers of both energy security and climate responsibility.