India is targeting a, 1.31 billion tonne domestic coal production goal for FY27 to curb imports, Mysteel. Surging industrial demand is prompting a 97 GW coal-fired power capacity expansion by 2035, ​ Key challenges include environmental concerns, logistical bottlenecks, and the need for greater system flexibility,.

​ India is targeting a, 1.31 billion tonne domestic coal production goal for FY27 to curb imports, Mysteel. Surging industrial demand is prompting a 97 GW coal-fired power capacity expansion by 2035, 
​ Key challenges include environmental concerns, logistical bottlenecks, and the need for greater system flexibility,. 
​Key Coal Production and Power Targets
​Production Targets: -
​The government aims for a 1.31 billion tonne coal production target for FY 2026-27.
​Capacity Expansion: -
​Approximately 97 GW of additional coal-fired power capacity is planned by 2035.
​Infrastructure Growth: -
​Coal production from non-Coal India Limited (CIL) sources is expected to rise to 281 MT by FY2030, with a CAGR of over 15%.
​ Coking Coal Focus: 
​'Mission Coking Coal' aims for 140 MT of production by 2030 to support the steel industry. 
​Key Power Sector Challenges
​Infrastructure and Logistics: -
​The need to improve Coal logistics (rail-sea-rail) to handle increased production and reduce costs.
​Environmental Impact: -
​Rising coal use clashes with sustainability goals, ScienceDirect.com, prompting initiatives like coal gasification.
​ Financial Stress: -
​Rapid expansion risks overcapacity, which could create underutilised assets and increase costs for consumers.
​Renewable Integration: -
​The power sector faces a shift toward needing greater system flexibility to integrate renewable energy rather than just building more capacity. 
​Strategic Initiatives
​ Commercial Mining: 
​Continued auctions for commercial coal mining to boost production.
​Logistics Improvement: -
​The Coal Logistics Plan & Policy aims to make the supply chain more efficient.
​Technology Adoption:-
​ Focus on coal gasification for cleaner energy production. 
​   India has achieved a historic milestone by surpassing one billion tonnes of coal production in FY 2024-25, with a 4.99% growth in output compared.

​MJF Lion ER YK Sharma 

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