The Ministry of Coal has the overall undertaking of determining policies and strategies in respect of exploration and development of coal and lignite reserves, sanctioning of vital projects of high value and for deciding all related issues.
Under the administrative management of the Ministry, these key functions are exercised through the Public Sector Undertakings, namely, Coal India Ltd. and its subsidiaries and Neyveli Lignite Corporation Limited. Except for Coal India Ltd. and Neyveli Lignite Corporation Ltd., the Ministry of Coal also has a joint venture with Government of Andhra Pradesh called Singareni Collieries Company Limited. The government of Andhra Pradesh holds 51% equity and Government of India holds 49 % equity.
The Ministry of Coal is responsible for the development and exploitation of coal and lignite reserves in the country. The subjects allocated to the Ministry which include attached and subordinate or other organizations covering PSUs related with their subjects under the Government of India (Allocation of Business) Rules, 1961, as amended from time to time, are as follows:
- Exploration and enhancement of coking coal and non-coking coal and lignite deposits in India.
- All issues relating to production, supply, distribution, and prices of coal.
- Development and operation of coal washeries except for which Department of Steel (ISPAT Vibhag) is responsible.
- Low-Temperature carbonization of coal and production of synthetic oil from coal.
- Administration of the Coal Mines (Conservation and Development) Act, 1974 (28 of 1974).
- The Coal Mines Provident Fund Organization.
- The Coal Mines Welfare Organization.
- Administration of the Coal Mines Provident Fund and Miscellaneous Provision Act, 1948 (46 of 1948).
- Administration of the Coal Mines Labour Welfare Fund Act, 1947 (32 of 1947).
- Rules under the Mines Act, 1952 (32 of 1952) for the levy and collection of duty of excise on coke and coal produced and dispatched from mines and administration of rescue fund.
- Administration of the Coal Bearing Areas (Acquisition and Development) Act, 1957 (20 of 1957).
- Administration of CMSP Act, 2015 (no. 11 of 2015).
Administration of the Mines and Minerals (Development and Regulation) Act, 1957 (67 of 1957) and other Union Laws in so far the stated Act and Laws concerning to coal and lignite and sand for stowing, business incidental to such administration including questions concerning various States.