DECLINE IN COAL IMPORTS

The Ministry of Coal reported that coal imports by thermal power plants fell to 45.4 MT in FY 2025‑26, a 27.4 % decline from 62.5 MT in FY 2024‑25. To curb import dependence, the government has increased the Annual Contracted Quantity (ACQ) to 100 % of normative requirements, allowed Imported‑Coal‑Based (ICB) plants to procure coal under the Revised SHAKTI Policy 2025, and created the CoalSETU window for washed‑coal linkages. An Integrated Coal Logistics Plan proposes 33 railway projects and 139 First‑Mile Connectivity projects (1,319 MT capacity) by FY 2029‑30. Domestic coal prices have risen marginally (₹20/tonne) and recent auctions under SHAKTI have offered coal at near‑zero premiums, while the removal of GST compensation cess has improved domestic coal competitiveness.