India set to surpass 1 billion tonnes in coal production for FY25

With less than 12 days left in the fiscal, the milestone is expected to be reached through stringent measures against coal pilferage and increased output from key mines, particularly Gevra and Kusmunda in Chhattisgarh—two of the world’s largest coal mines.

As the second-largest coal producer globally, India will join China as the only country surpassing the 1 billion tonnes mark in annual coal production.

However, despite domestic output growth, coal imports continue to meet peak summer power demand.

The government aims to achieve self-sufficiency in coal by 2026 by boosting domestic production and expanding renewable energy capacity.

With summer setting in, power demand is already rising and is expected to escalate further as temperatures climb.

Currently, coal stocks at power plants stand at 49 million tonnes, sufficient for 21 days of consumption.

The country’s peak power demand for 2025 has been projected at 273 GW.

To reduce dependence on coal and shield against volatile global prices, the government is intensifying efforts to expand renewable energy-based power generation.

Meanwhile, recent rainfall and snowfall in North India could temporarily ease coal demand by delaying air-conditioning use and boosting water levels in reservoirs, supporting higher hydropower generation during peak periods.