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Tuesday, 27 January 2026

Ramping Production, Rethinking Coal

Ramping Production, Rethinking Coal

Ramping Production, Rethinking Coal

A short note from me

This week I read that Eastern Coalfields Limited — the Coal India arm — has asked its workforce to accelerate output in the final quarter to make up a mid-year shortfall "Coal India arm ECL urges employees to ramp up production". The numbers mattered: cumulative production till December was reported at ~33.48 Mt against a proportionate target of ~38.75 Mt, even as overburden removal and offtake showed operational activity continuing.

Reading that made me pause. I have long argued that India needs both near-term reliability and long-term transformation in energy systems (Power Play — Day or Night). So I want to write briefly — in first person — about what this moment asks of leaders, workers, and policymakers.

What this asks of us now

  • We must honour the immediate duty: ensure coal supply continuity so factories, hospitals and homes are not disrupted. The call to employees is practical: closing a >5 Mt gap in a few months demands focus, logistics and disciplined execution.

  • We must protect the people who make that reliability possible. Coal production is human work: miners, equipment crews, drivers, dispatch teams. Any ramp-up must be matched by strict safety, overtime protections, and clear plans for health and compensation.

  • We should treat operational reliability as necessary but not sufficient. Strengthening evacuation, governance and infrastructure (the very things ECL highlights) needs to be coupled with a vision for what comes next.

Why the long view matters

Coal still powers a large part of India today. Asking employees to deliver in a quarter is a responsible, short-term ask. But past signals — from closures of coal plants elsewhere to technology cost curves — tell us the medium-term horizon is different. I have written before about the economics and social consequences of that transition (Money Down the Pit / Bluewaters reflections). The key takeaway: we must avoid treating coal as a permanent answer while planning only for short-term production gains.

Practical steps that respect both duties and futures

I believe ECL, Coal India and policymakers can do both: meet this year’s targets and accelerate the energy transition in ways that protect livelihoods.

  • Short-term operational focus: optimize haulage and dispatch, minimize idle time at pits and silos, and make sure offtake coordination with rail and road logistics is tight.

  • Worker-first measures: invest in safety audits, limit hazardous overtime, provide hazard pay, and set up retraining pathways now — not later.

  • Asset-level dual-use thinking: where mines and ancillary land parcels allow, plan phased deployments of solar on reclaimed or non‑mining land; this creates alternate revenue and jobs while reducing emissions.

  • Financial planning: direct a portion of incremental revenue from any production gains into a transition fund for reskilling, mine reclamation, community development and grid-scale storage pilots.

  • Transparent targets and accountability: publish clear Q4 milestones and a three-year workforce transition plan so communities and markets can see the trajectory.

A personal note

Coal miners and their families are part of India's industrial backbone. I respect the people who show up, day after day, to keep lights burning and machines running. But respect also means honesty about the future: the energy world is changing, and our policy and corporate choices must protect dignity as jobs evolve. I have argued for similar dual approaches before — securing supplies while scaling renewables and storage (Power Play — Day or Night).

If ECL and others manage this quarter well, they will have bought time — time to plan a humane, practical transition that safeguards energy security and the lives that depend on it.

Closing thought

Short-term asks of employees are sometimes necessary; long-term choices are our responsibility. We can insist on both: rigorous production management now, and deliberate, worker-centred transition planning for the years ahead.


Regards,
Hemen Parekh


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