TFP Bureau, New Delhi, December 20, 2024: India, despite being the fifth-largest holder of coal reserves globally, has historically relied on imports to meet the demand for specific types of coal, such as coking coal and high-grade thermal coal, which are scarce domestically. However, recent data highlights a decline in coal imports during the first seven months of the current fiscal year, reflecting progress toward self-reliance in coal production.
Coal imports for the April-October period of FY 2024-25 dropped by 3.1%, reaching 149.39 million tonnes (MT), down from 154.17 MT in the corresponding period last year. The decline was even sharper in the Non-Regulated Sector (excluding the power sector), which recorded an 8.8% reduction during the same timeframe.
Interestingly, while coal-based power generation saw a growth of 3.87% between April and October 2024 compared to the previous year, imports for blending purposes by thermal power plants fell by a significant 19.5%. The increase in coal imports for imported coal-based power plants—designed to use only imported coal—was an exception, rising 38.4% to 30.04 MT during this period.
Simultaneously, domestic coal production surged by 6.04%, climbing to 537.57 MT in April-October 2024 from 506.93 MT during the same period in FY 2023-24. This steady rise underscores the government’s strategic focus on enhancing domestic coal output to reduce import dependence and safeguard foreign reserves.
The Ministry of Coal remains committed to implementing reforms to streamline coal production and ensure efficient distribution. These initiatives aim to strengthen India’s energy security while promoting sustainable growth in the energy sector.
As the country continues its journey toward energy self-sufficiency, the reduction in coal imports marks a significant milestone, reaffirming the success of policy interventions and the resilience of India’s energy infrastructure.
