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regular-article-logo Friday, 12 September 2025

Coal India to raise mine accident compensation to Rs 25 lakh, introduce uniforms for employees

G. Kishan Reddy said that Coal India will provide additional (accidental) insurance of Rs 1 crore for its employees from September 17 and Rs 40 lakh for contractual workers

PTI Published 12.09.25, 06:52 PM
Representational image

Representational image PTI

Union Coal and Mines Minister G Kishan Reddy on Friday announced that the country's largest miner CIL has decided to enhance workers' ex gratia in case of a mine accident to Rs 25 lakh from the existing Rs 15 lakh.

In another step, Coal India Ltd will introduce uniforms for all its employees, including the chairman and managing director, for the first time after the country's Independence.

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"Coal India has decided to enhance workers' ex-gratia (in case of mine accident) to Rs 25 lakh from the present 15 lakh from September 17, which is Vishwakarma Diwas and also coincides with the birthday of Prime Minister Narendra Modi," Reddy said, addressing the media here.

Reddy said that Coal India will provide additional (accidental) insurance of Rs 1 crore for its employees from September 17 and Rs 40 lakh for contractual workers.

He also said, "In another major decision, post Independence Coal India has decided for the first time to introduce uniforms for workers, officials and CMDs of its PSUs besides employees of MDOs from September 17 to ensure a culture of discipline and unity." Coal India Chairman and Managing Director PM Prasad was also present on the occasion.

Asserting that India is committed to decrease dependence on coal imports, the minister said the government had saved Rs 60,000 crore by cutting dry-fuel imports last year.

However, due to technical challenges, some companies, particularly steel-producing ones, are still importing coal, he said.

He said that the government is also committed to more reforms in the coal sector, besides facilitating ease of business and transparency in block auctions.

"Rs 32,000 crore National Critical Mineral Mission is being implemented by the government for exploration of critical minerals," the minister said and added that public and private sectors are being encouraged to participate.

"For this, India has engaged with the like-minded countries," he said, adding, "Till now we have started work of exploration in Argentina and Zambia." In Argentina, the Centre has secured affiliation for five lithium blocks through a government-to-government agreement, he said.

Argentina, known for its vast lithium reserves as part of the 'Lithium Triangle,' is a crucial partner for India in securing essential minerals required for electric vehicle batteries and renewable energy storage.

"Similarly, in India, we are accelerating the exploration of critical minerals, encouraging participation from state government PSUs, Central Government PSUs, the private sector, and even start-up companies. As we succeed in exploring critical minerals, we will increase their production. We are also promoting research and development by assigning responsibilities to various institutions, universities, and IITs," he said.

Reddy said that both the roles of coal minister and mines minister are indispensable in achieving the goal of “Aatmanirbhar Bharat”.

He said both ministries were committed to their contribution towards making India the world's third-largest economy and to bolstering economic development and providing employment opportunities to the youth.

India has produced one billion tonnes of coal, with significant contributions from the people of Jharkhand, he said.

Odisha is currently the largest coal-producing state, followed by Chhattisgarh and Jharkhand, he added.

Noting that 74 per cent of India’s energy production is coal-based, used in the farming, commercial, and domestic sectors, he said that with the rapidly increasing demand for power, it is the government’s responsibility to ensure a steady power supply.

"To this end, the ministry is working to enhance thermal power production while also promoting the development of green energy in the country...the government is encouraging stakeholders to invest in green energy, particularly solar power generation. We are also prioritising the safety and security of coal mine workers," he added.

Except for the headline, this story has not been edited by The Telegraph Online staff and has been published from a syndicated feed.

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