Page 54 - Policy Economic Report - October 2025

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

development, Arunachal Pradesh joins india’s coal journey, the world’s second-largest coal producer,
which crossed a record 1 billion tonnes of production last year. The mine is expected to generate over
?100 crore annually as revenue for the state, creating jobs and prosperity for youth.

The launch also signifies an end to illegal mining, exploitation and wastage of state resources, ensuring
that development, transparency and accountability benefit the people. Critical minerals are also being
unlocked for the first time in Arunachal, with two blocks in the state and five in Assam under auction,
vital for future technology and national security. Officers have been urged for speedy operationalisation,
which will generate employment and prosperity for local youth, supporting the Atmanirbhar Bharat path
through local resources, local jobs, and local strength.

While enabling growth, the Government has reiterated its commitment that mining in the Northeast will
have no compromise with ecology. The region, known for its green valleys, rivers and strong
communities, will be developed as a global model for sustainable mining. The coal sector has already
reclaimed 57,000 hectares of land and will reclaim 16,000 hectares more by 2030 under Mission Green
Coal Regions. Mining is being undertaken as an economic, ecological and community responsibility,
driven by Jan Bhagidaari.

Over the past 11 years, the Northeast has witnessed investments of more than ?6 lakh crore. In
Arunachal alone, allocations have risen from ?6,000 crore before 2014 to ?1 lakh crore post-2014, a 16-
fold increase. GST reforms have boosted traditional sectors such as tea, silk, handicrafts and tourism,
while a connectivity revolution has been achieved through 16,000 km of national highways, 80,000 km
of rural roads, 2,000 bridges, 19 airports, the Sela Tunnel and Bhupen Hazarika Bridge. Rail investments
have multiplied five-fold, with projects worth ?77,000 crore ongoing. The Northeast Gas Grid is bringing
energy closer to industries, while the Vibrant Villages Programme has connected 450 border villages.
These efforts have transformed the region from a conflict zone to a growth engine, positioning it as the
Ashtalakshmi region central to Viksit Bharat.

Workers, the real strength of the coal sector, are being supported with safety, wages, healthcare,
scholarships and better living conditions. Welfare measures include the Corporate Salary Package with
insurance and loans, ?1 crore accident cover, ?2 crore air accident cover, first-time insurance for
contract workers, ex-gratia of ?25 lakh for fatal accidents, and a Uniform Dress Code Scheme to instil
identity, respect and unity.

The launch of the Namchik Namphuk coal block will embody the integration of development, ecology,
and Jan Bhagidaari, supporting India’s energy security, community welfare, and Atmanirbhar Bharat. The
coal and mining sector is committed to making the Northeast a shining example of growth, green
energy, and people empowerment under the leadership of Prime Minister Shri Narendra Modi.

Ministry of Coal issued Vesting Orders for Five Coal Blocks under Commercial Coal Auctions

The Ministry of Coal, through its Nominated Authority, has issued Vesting Orders for 5 coal blocks under
commercial coal block auctions today. The Coal Mine Development and Production Agreements
(CMDPA) for these blocks were signed on August 21, 2025.

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