Scientific mine closure gets ₹40,000 crore boost from the Centre

Along with a ₹40,000 crore corpus, the government signed an agreement with Germany's GIZ to strengthen scientific mine closure, land restoration, and post-mining development

  India is stepping up efforts to ensure that mines do not become long-term environmental liabilities after production ends. The Union government has announced a ₹40,000 crore corpus for scientific mine closures, signalling a shift towards restoring mined land, protecting local ecosystems, and creating new economic opportunities for communities that depend on mining.

 

The announcement was made on Wednesday by Union Coal and Mines Minister G Kishan Reddy during the launch of AAROH, India's first annual report on scientific mine closure and repurposing. The government also signed an implementation agreement with Germany's Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ), which is expected to strengthen technical cooperation and bring global best practices to India's mine closure programme.

 

 

Boost for scientific mine closure

 

According to the Coal Ministry, nearly ₹40,000 crore has been earmarked for scientific mine closure across the country. The fund will support the safe closure, restoration, and productive reuse of exhausted mines instead of leaving them abandoned after mining operations end.

 

Speaking at the event, the Union minister said scientific mine closure is no longer just an environmental obligation but an opportunity to convert degraded land into productive assets that benefit both people and nature.

 

He added that, for the first time, 25 per cent of the approved mine closure cost has been earmarked for community development, creating an investment potential of nearly ₹10,000 crore over the next decade.

 

What is scientific mine closure?

 

Mine closure is the final stage in a mine's life cycle. However, scientific mine closure goes beyond simply stopping mining activity because it focuses on restoring the land and making it safe for future use.

 

It typically includes:

 

• Reclaiming and stabilising mined land
• Restoring vegetation and biodiversity
• Conserving water resources
• Managing waste and pollution
• Repurposing land for renewable energy, agriculture, tourism, or other economic activities
• Supporting local communities through rehabilitation and livelihood initiatives

 

The Coal Ministry said these measures help ensure that mining regions continue to generate environmental and economic value even after extraction ends.

 

42 mines restored, 147 more targeted

 

The newly released AAROH report documents 42 scientifically closed coal mines across India, including 33 completed in the last year alone, marking the first such comprehensive documentation since Independence.

 

The report highlights how former mining sites have been restored through ecological reclamation, sustainable land use, and community-focused interventions. It also serves as a knowledge repository for future mine closure projects by documenting successful practices and lessons learnt. The government has also set a target of scientifically closing 147 more mines over the next two to three years.

 

The report also highlights the evolution of India's mine closure framework and the ecosystem developed by the ministry. This includes:

 

• RECLAIM (Reach Out, Envision, Co-create, Localise, Act, Integrate, and Maintain) Framework for community engagement
• SUVIKALP digital mine repurposing platform
• A.R.T.H.A. (Align, Rank, Target, Harness, and Adapt) Framework for green financing and carbon management
• District Collector-led Mine Closure Advisory Committees to support scientific mine closure and sustainable post-mining land use

 

How Germany will support India's initiative

 

The Ministry of Coal also signed an implementation agreement with Germany's Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ). Under the partnership, Germany will provide technical cooperation in areas such as:

 

• Scientific mine closure planning
• Mine repurposing strategies
• Technical capacity building
• Knowledge sharing
• Adoption of international best practices

 

The collaboration is also expected to strengthen institutional capabilities in India and improve the long-term sustainability of mine closure projects while expanding India-Germany cooperation in the mining sector.