"Important step towards strengthening India's energy security": PM Modi after Cabinet approves CoalSETU window
Dec 12, 2025
New Delhi [India], December 12 : After the Union Cabinet approved the CoalSETU window, Prime Minister Narendra Modi on Friday called it an "important step" towards strengthening India's energy security and accelerating growth, adding that it will support "Ease of Doing Business", boost domestic availability and reduce dependence on imported coal.
In a post on X, the Prime Minister wrote, "The Cabinet has approved the CoalSETU policy, creating a new window to enable seamless, efficient and transparent utilisation of coal. It will support Ease of Doing Business, boost domestic availability and reduce dependence on imported coal. It is yet another important step towards strengthening India's energy security and accelerating growth."
https://x.com/narendramodi/status/1999499072328335414?s=46
Earlier today, the Union Cabinet Committee on Economic Affairs, chaired by Prime Minister Modi, approved the Policy for Auction of Coal Linkage for Seamless, Efficient & Transparent Utilisation (CoalSETU) by creation of a new window named "CoalSETU window" in the NRS Linkage Policy to utilise coal for any industrial use and export.
The new policy adds to the series of coal sector reforms being undertaken by the Government.
The Policy will allow allocation of coal linkages on an auction basis on a long-term for any industrial use and export by adding a separate window named CoalSETU in the NRS (Non-Regulated Sector) Linkage Auction Policy of 2016, wherein any domestic buyer requiring coal can participate in the linkage auction. The coking coal shall not be offered under this window.
The existing policy for auction of coal linkages for the NRS provides for allocation of all fresh coal linkages to NRS viz. Cement, Steel (Coking), Sponge Iron, Aluminium, and Others [excluding Fertilizer (Urea)] including their Captive Power Plants (CPPs) to be auction-based. As per the present policy of NRS Linkage, the sub-sectors are for specified end users only.
While announcing the Cabinet decision, Union Minister Ashwini Vaishnaw said the move is aimed at improving ease of doing business, ensuring faster and more flexible utilisation of domestic coal reserves, and reducing India's dependence on imported coal to meet its energy requirements.
"The policy aligns with the Government's broader coal sector reforms, including the opening of commercial coal mining without end-use restrictions," he said.
