India aims to auction coal blocks for commercial mining by December-end, coal secretary Susheel Kumar told television channel ET NOW on Thursday, a move that would end monopoly of State-run firms in coal mining.
This could help the country to meet its target and produce 1 billion tonnes by 2020.
Coal accounts for about 70% of India's power generation, and the government wants to boost domestic output to cut imports.
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Despite environmental worries, India plans to continue to depend on burning coal to provide power for a population of 1.3 billion.
Indian coal companies have pithead stock — coal mined, but not supplied — of 69 million tonnes, Mr. Kumar said, adding Coal India Ltd. does not need to produce more.