6 new coal mines to start operations this fiscal year

NEW DELHI: Six new captive and commercial mines are expected to commence operations in this fiscal year, while three have already started production, govt said on Friday, as 59 thermal power plants face a shortage of fuel due to high electricity demand and disruptions in supplies during the monsoon.Coal ministry, in a statement, said captive mines have been a mainstay of fuel production, with their output growing by over 10% in a year from 167 million tonnes in 2024-25 to 184 MT in 2025-26. Till Sept 10 this year, coal production from captive mines has grown by about 5% year-on-year to 69 MT, against 66 MT in the corresponding period last year. The period also includes the monsoon season, when mining and evacuation of coal become difficult.“Along with commercial mines, which produced nearly 26 MT, the captive and commercial segment together accounted for 210 MT in FY 2025-26 against 191 MT the previous year,” the statement read.Captive and commercial mines account for about 21% of total domestic coal production, which stood at 1,039 MT in FY26 and remained above one billion tonnes for the second year running, the ministry said.State-run Coal India Limited (CIL) has offered power plants having fuel supply agreements with it and its subsidiaries the option to lift additional quantities of coal, over and above the quantities stipulated in their annual contracts, as stocks at thermal power plants fell further.Govt has also increased the number of rakes to 444 to ramp up coal supplies to power plants from the mines of CIL and its subsidiaries, as well as captive mine operators.Get the latest Business News and Live updates. Download the TOI app.