The holding company of these coal firms, Coal India Ltd (CIL), pays about 30 per cent of its total royalty to Jharkhand
alone, while the share of production from the state is about 20 per cent, he said.
is the only state in the country to have three coal companies
simultaneously excavating coal out of its mineral-rich soil, he said.
The minister also said commercial coal mining is going to fuel development in Jharkhand in the coming years, according to a statement by the coal ministry.
Of the nine blocks in Jharkhand put up for sale for commercial mining, the eastern state is likely to earn more than Rs 3,200 crore in one year as revenue and almost 50,000 additional jobs will be generated for the people of the state, the minister said.
Additionally, Jharkhand's contribution to District Mineral Foundation (DMF) will be around Rs 17 crore, which can be used for development of regions around coalfield areas.
So far, the response for blocks put up for auction for commercial mining has been very good, he said, and stressed that 5-10 bidders have shown interest for each of the nine blocks.
Emphasising the need for commencement of commercial coal mining, Joshi said India still meets a fifth of its annual coal requirement through imports.
Once commercial mining picks up, imports by independent thermal power plants and captive power plants are likely to be substituted, saving around Rs 30,000 crore in potential import bill every year.
Also, it will help in generating more than 300,000 direct and indirect jobs.
Highlighting the importance of mining for Jharkhand, Joshi said the sector is the lifeline of the state and plays a crucial role in its development.
operating in the state have been working for decades now, excavating coal out of the mineral-rich soil of Jharkhand and paying revenue in return to the state for its development.