Coal India Ltd has announced a major investment plan of ₹3,300 crore to set up eight new coking coal washeries with a combined capacity of 21.5 million tonnes per year (MT/Y) by FY2030. In addition, ₹300 crore will be invested to renovate and modernize existing washeries to improve efficiency.
On March 27, 2026, Coal India confirmed its strategic expansion in coal washing infrastructure. The initiative includes building eight new washeries and upgrading existing ones. This move aims to improve the quality of coking coal supplied to steel plants, reduce impurities, and strengthen India’s energy and industrial ecosystem.
Expansion Details
New Washeries: Eight coking coal washeries with 21.5 MT/Y capacity.
Investment: ₹3,300 crore for new projects.
Renovation: ₹300 crore allocated for upgrading existing washeries.
Timeline: All new washeries operational by FY2030.
Existing Capacity: Coal India currently operates 10 washeries with 18.35 MT/Y cumulative capacity.
Strategic Impact
Enhances supply of cleaner coking coal for steel production.
Reduces dependence on imported coking coal.
Improves efficiency and environmental compliance in coal processing.
Strengthens Coal India’s role in supporting India’s industrial growth.
Industry Context
India’s steel sector relies heavily on coking coal, much of which is imported.
Washeries help improve coal quality, reduce ash content, and increase efficiency.
Coal India’s investment aligns with government’s push for self-reliance in energy and raw materials.
Key Highlights
• Coal India to set up eight new washeries by FY2030
• Combined capacity of 21.5 million tonnes per year
• ₹3,300 crore investment in new washeries
• ₹300 crore allocated for renovation of existing facilities
• Move reduces import dependence and supports steel industry growth
Sources: The Economic Times, ET EnergyWorld, Business Upturn