The decision to involve private sector firms in managing these mines is expected to bring in new technologies, investments, and expertise, thereby boosting coal production and reducing dependency on imports. The allocation process prioritises firms with robust plans for sustainable and efficient mining operations.

The mines, previously underutilised due to various operational challenges, are now poised for revitalization under private management. This initiative is part of India's broader efforts to optimise resource utilisation and foster competitiveness in the coal mining industry.

By engaging private sector participation, Coal India aims to unlock the potential of these mines, ensuring their productive use while adhering to environmental and regulatory standards. The move is also anticipated to generate employment opportunities and stimulate local economies in the regions where the mines are located.

The allocation of these mines underscores India's commitment to enhancing domestic coal production and reducing reliance on imports, aligning with the country's energy security goals. It reflects a strategic approach to revitalising India's mining sector through partnerships with private enterprises, driving economic growth and sustainable development.