Except coal, states are allowed to auction other mines in consultation with the central ministry. With the change in law, the government aims at increasing production, especially from the captive coal mines. There are 194 captive coal blocks in India that were auctioned between 1993 and 2011, and which have coal reserves of 44 billion tonnes. “This (market sale) will help to increase coal production from captive mines, coal availability in the market leading to reduction in import. Another amendment proposed is to empower the Centre to auction mines that states have failed to auction.

Source: Hindustan Times March 07, 2021 18:51 UTC