Bhubaneswar: Coal mining sector has proved to be a big booster for economic growth of the coal producing State like Odisha.
In fact Odisha has received Rs.16,195.70 Crore in shape of royalty on sale price, DMF and NMET.
State is entitled for 14% of Royalty on sale price of coal, DMF @30% of royalty, 2 % of NMET from the coal produced by the coal companies and also the private sector.
In case of captive/ commercial mines State Government are also entitled to receive the revenue share offered by the auction holder in transparent bidding process.
Apart from this, State Governments also benefit from increased employment, land compensation, increased investment in allied infrastructure like railways, roads and several other economic benefits.
During 2014-2023, total revenue from royalty, DMF & NMET of all coal producing States through coal mining sector is Rs. 152696 crores.
State wise, year wise data for the last 5 years indicate that the coal mining sector is very significant contributor to the revenue of Jharkhand, Chhattisgarh, Odisha, Madhya Pradesh, West Bengal and Telangana.
The compounded annual growth rate (CAGR) of the revenue from coal mining during 2014-2023 was healthy 13.80%.
