Govt amends rules, shifts approval power for opening of coal mines from CCO to company boards

New Delhi: The government has notified the Colliery Control (Amendment) Rules, 2025, removing the requirement for coal and lignite mine owners to seek prior approval from the Coal Controller’s Organisation (CCO) for opening mines, seams, or sections of seams.

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The amendment to Rule 9 of the Colliery Control Rules, 2004, marks a significant shift in the approval framework, with the authority to clear mine and seam openings now vested in the board of the concerned coal company. The notification was issued on December 23, the Ministry of Coal said on Friday.

Earlier regime required CCO clearance

Under the earlier rules, mine owners were required to obtain prior permission from the CCO not only for opening a coal or lignite mine, but also for opening individual seams or sections of seams. CCO approval was also mandatory if a mine was being restarted after remaining non-operational for 180 days or more.

These layers of approvals, the ministry said, led to procedural redundancies and delayed the operationalisation of mines.

Board-level approvals replace CCO sign-off

Under the amended provisions, approval for opening a mine or seam will now be granted by the board of the concerned coal company, after all requisite clearances from central and state governments and statutory bodies have been obtained.

The government said this change is expected to reduce the time taken to operationalise a mine by up to two months, while keeping accountability at the highest corporate decision-making level.

Safeguards and continued oversight

The amendment retains regulatory oversight by requiring companies to submit information on mine openings to the CCO. For entities other than companies, the approval process will continue to be routed through the CCO.

The ministry said the revised rules aim to balance faster decision-making with statutory safeguards, while improving ease of doing business and accelerating coal production without diluting compliance requirements.

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