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Coal Exchange Rules Notified to Modernise Coal Trading

By Enersider Desk | New Delhi | 9 June 2026

The Government has taken a major step towards modernising India’s coal supply chain by paving the way for the establishment of Coal Exchanges in the country.

The move follows the enactment of the Mines and Minerals (Development and Regulation) Amendment Act, 2025, which introduced the concept of a Mineral Exchange. The legislation also empowered the Central Government to promote transparent and efficient trading of minerals, including coal and its processed forms.

The Ministry of Coal published the Coal Exchange Rules, 2026 in the Official Gazette on 4 June 2026. The rules provide the framework for setting up and operating Coal Exchanges in India.

 

Image Credit: PTI

 

To support the initiative, the Ministry of Coal had already designated the Coal Controller Organisation (CCO) in December 2025 as the authority responsible for registering and regulating Coal Exchanges. Eligible entities will be authorised by the CCO to establish and operate these exchanges, frame market rules and bye-laws, and facilitate coal trading activities followed by registrations that will be valid for a period of 25 years.

According to the Ministry, the introduction of Coal Exchanges represents a significant change in coal marketing. The system will move away from the traditional “one-to-many” sales model and adopt a competitive “many-to-many” trading platform.

The new framework is expected to build transparent and market-driven prices, while improving overall market efficiency. It will also provide coal producers, including commercial and captive miners, with easier access to a wider range of buyers. Public sector coal companies will also be able to use the platform to expand their participation in the market.

The Government said, “the Coal Exchange initiative reflects its commitment to improving ease of doing business, promoting transparency and creating a modern and self-reliant energy ecosystem”.

The reform is expected to strengthen energy security, support industrial growth and contribute to the vision of Viksit Bharat through sustainable economic development and a future-ready energy sector.

 

Also Read: Coal India steps up supply to non-regulated sector, offers record volumes in linkage auctions

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