MUMBAI : Even as India takes its first steps towards privatizing coal mining in India, it might be a while before the country sees active participation in the sector.
On Wednesday, commerce and industry minister Piyush Goyal said 100% foreign direct investment (FDI) under automatic route in coal mining and associated infrastructure has been approved. This comes after a decision that the Modi government took in February 2018 that would allow auctions of coal-bearing blocks to private parties for commercial mining. Coal mining has so far been the exclusive domain of public sector Coal India Ltd.
Before this, FDI was allowed only in captive coal and lignite mining by power projects, steel and cement companies.
