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Coal Sufficiency

India reduces coal imports as domestic production rises

Coal-based power generation increased by 3.87 percent from April to October 2024 compared to the same period in 2023

India reduces coal imports as domestic production rises

New Delhi: India, despite its vast coal reserves, continues to rely on imports for specific types of coal, such as coking coal and high-grade thermal coal, which are not readily available domestically. These imports are essential for key sectors, including steel production and energy generation.
 

Between April and October of the 2024-25 financial year, coal imports declined by 3.1 percent, totalling 149.39 million tonnes compared to 154.17 million tonnes in the same period the previous year. The non-regulated sector, which includes industries other than power, recorded an even steeper drop of 8.8 percent during this period.
 

Coal-based power generation increased by 3.87 percent from April to October 2024 compared to the same period in 2023. However, imports for blending by thermal power plants fell sharply by 19.5 percent. The increase in coal imports for the power sector was mainly due to plants designed to use only imported coal, with imports rising from 21.71 million tonnes to 30.04 million tonnes during this period, reflecting a 38.4 percent growth.
 

India’s coal production showed a significant increase during the same timeframe, reaching 537.57 million tonnes compared to 506.93 million tonnes in the 2023-24 period, representing a growth of 6.04 percent. This increase highlights the government’s focus on enhancing domestic coal production to reduce reliance on imports.
 

The Ministry of Coal is actively implementing measures to boost coal production and ensure better availability. These efforts aim to strengthen energy security and reduce the financial burden of coal imports, contributing to the long-term sustainability of India’s energy framework.

BI Bureau