Business
Coal India Introduces Measures to Support Industrial Demand
Coal India Limited (CIL) has unveiled a series of measures aimed at increasing coal availability for non-regulated sector consumers, reducing import dependence, and supporting growing industrial demand. The company will offer a record 35 million tonnes of coal under its linkage auction programme.
Coal India Limited (CIL) on Friday announced a set of initiatives designed to enhance coal availability for non-regulated sector (NRS) consumers and provide greater operational flexibility to industries.
As part of the measures, the state-run miner will offer a record 35 million tonnes of coal through its linkage auction window scheduled for June 12. The auction is expected to benefit high-grade coal consumers, particularly industries such as sponge iron manufacturing, which rely heavily on superior-quality coal.
CIL said the initiative is aimed at reducing the country’s dependence on imported coal by ensuring adequate domestic availability of high gross calorific value (GCV) coal for industrial users.
The company expects the move to support key sectors of the economy while helping industries manage costs amid global market uncertainties.
In another significant policy change, Coal India has permitted steel producers operating in the coking coal segment to sell coal middlings—a byproduct generated during the coal washing process—in the open market if the material is not utilized for captive power generation.
The provision has been introduced under the ongoing Tranche-X linkage auctions, which commenced on June 3.
Coal middlings are often used as a fuel source and can provide an additional revenue stream for steel producers while improving resource utilization and reducing wastage.
The measures form part of CIL’s broader strategy to optimize coal distribution, improve market efficiency, and meet rising demand from industries outside the power sector.
Industry experts believe the increased auction quantity and flexibility in the utilization of coal byproducts could improve supply availability for manufacturing sectors while reducing reliance on imported coal, particularly for industries requiring higher-grade fuel.
The announcement comes as India continues to focus on strengthening energy security and supporting industrial growth through enhanced domestic production and efficient resource allocation.