Coal Sector in the Indian Economy

• India is the 2nd largest consumer and 2nd largest producer of coal globally; China ranks first, accounting for 50% of global production.
• India holds the 5th largest geological coal reserves in the world.
• Top coal-producing states: Jharkhand, Odisha, Chhattisgarh, and West Bengal.
• Despite renewable energy expansion, coal-based thermal power remains vital, projected to contribute 55% of energy mix by 2030 and 27% by 2047.
• As of November 2024, coal accounts for 46.88% of India’s total installed power generation capacity (Source: Ministry of Power).
• Key industries like steel (8%) and cement (5%) are also heavily dependent on coal.

About Coal Controller’s Organisation (CCO)

• Established in 1975 under the Coal Mines (Conservation and Development) Act, 1974, the CCO functions under the Ministry of Coal.
•  Headquartered in Kolkata, it has field offices in Dhanbad, Ranchi, Bilaspur, Nagpur, Sambalpur, Kothagudem, and Asansol.

Functions of CCO

• Regulatory Oversight: Monitors and ensures compliance with coal sector laws and policies.
• Inspections: Verifies coal grades and declarations through colliery inspections, as per the Colliery Control Rules, 2004 (amended in 2021).
• Quality Control: Maintains coal quality standards through regular testing and enforcement.
• Grading: Classifies coal based on quality and usage.
• Licensing: Issues necessary licenses and permits to coal producers, traders, and users.