The Ministry of Coal’s Nominated Authority issued vesting orders for three coal blocks under commercial auctions on 23 October 2025. The blocks include Rajgamar Dipside, Tangardihi North, and Mahuagarhi, with a combined peak rated capacity of around 1 MTPA and geological reserves of 1,484.41 million The Ministry of Coal has taken yet another decisive step toward strengthening India’s energy independence by issuing vesting orders for three coal blocks under the ongoing commercial auction regime. This major development reinforces the government’s commitment to ensuring greater transparency, competition, and efficiency in the country’s coal mining framework.
As part of India’s broader Atmanirbhar Bharat Abhiyan, this move is aimed at enhancing domestic coal production, reducing import dependency, and supporting the industrial ecosystem that heavily relies on energy resources. The issuance of these vesting orders represents not just administrative progress but a strong policy-driven push toward energy sustainability and private sector empowerment Vesting orders act as the final legal and operational transfer documents that grant successful bidders the authority to develop, manage, and commercially operate coal mines. In this recent phase, three key coal blocks have been awarded to private sector participants.
Following a competitive e-auction process. This system of commercial mining was introduced to open the coal sector to private entities beyond Coal India Limited (CIL), allowing them to mine and sell coal in the open market. The intent is to bring in modern technologies, global best practices, and capital infusion into India’s mining ecosystem. This transparent and competitive process reflects the government’s focus on optimizing resource utilization while fostering industrial growth The three coal blocks are strategically distributed across Odisha, Chhattisgarh, and Jharkhand, states rich in mineral reserves and industrial potential.
Collectively, these blocks are estimated to hold over 350 million tonnes of geological reserves, capable of significantly enhancing domestic supply. Each block is expected to produce millions of tonnes of coal annually once operational, directly contributing to power generation and core industries such as steel, cement, and fertilizers. This distribution of blocks across major coal-bearing regions ensures balanced regional development and infrastructure enhancement in mining areas, aligning with India’s long-term goal of regional economic inclusivity Beyond energy security, the issuance of these vesting orders has far-reaching economic and social.
Impacts The operationalization of these mines is projected to attract significant private investment in mining operations, logistics, and allied infrastructure. This will not only boost the Gross Domestic Product (GDP) but also generate direct and indirect employment for thousands of workers, engineers, and local businesses. Each coal mine typically creates jobs in excavation, transportation, power management, and ancillary services such as machinery maintenance and safety supervision. The ripple effect on local economies, including hospitality, housing, and retail, will further strengthen the socio-economic fabric of these regions.
