UPSC Prelims Practice Questions — Ministry of Coal Reports Record-Breaking Production and Dispatch in Captive and Commercial Mines for FY 2025-26
Q1. The removal of the end-use restriction that had earlier confined coal-block allottees to specified sectors (such as power or steel) was effected through which one of the following legislations?
- A. The Coal Mines (Nationalisation) Act, 1973
- B. The Coal Mines (Special Provisions) Act, 2015
- C. The Mineral Laws (Amendment) Act, 2020
- D. The Mines and Minerals (Development and Regulation) Amendment Act, 2023
Q2. With reference to the Mineral Laws (Amendment) Act, 2020 as compared with the earlier coal-mining regime, consider the following statements:
1. It amended both the Mines and Minerals (Development and Regulation) Act, 1957 and the Coal Mines (Special Provisions) Act, 2015.
2. Unlike the earlier regime, it allowed companies with no prior coal-mining experience in India to bid for coal blocks.
3. It nationalised commercial coal mining for the first time under Coal India Limited.
Which of the statements given above is/are correct?
- It amended both the Mines and Minerals (Development and Regulation) Act, 1957 and the Coal Mines (Special Provisions) Act, 2015.
- Unlike the earlier regime, it allowed companies with no prior coal-mining experience in India to bid for coal blocks.
- It nationalised commercial coal mining for the first time under Coal India Limited.
- A. 1 and 2 only
- B. 2 and 3 only
- C. 1 and 3 only
- D. 1, 2 and 3
Q3. Which of the following statements relating to the legislative history of Indian coal mining is/are correctly stated?
1. In September 2014 the Supreme Court cancelled the allocation of 204 coal blocks.
2. The Coal Mines (Special Provisions) Act was notified in 2015.
3. Coal India Limited came into being in 1975.
4. The Coal Mines (Nationalisation) Act was enacted in 1993.
Which of the statements given above are correctly stated?
- In September 2014 the Supreme Court cancelled the allocation of 204 coal blocks.
- The Coal Mines (Special Provisions) Act was notified in 2015.
- Coal India Limited came into being in 1975.
- The Coal Mines (Nationalisation) Act was enacted in 1993.
- A. 1, 2 and 3
- B. 1, 3 and 4
- C. 2, 3 and 4
- D. 1, 2, 3 and 4
Q4. Under the Coal Mines (Special Provisions) Act, 2015, the conduct of auction/allotment and the vesting of the coal mines whose allocation the Supreme Court had cancelled was entrusted to which one of the following?
- A. The Coal Controller's Organisation
- B. The Nominated Authority
- C. Coal India Limited
- D. The Central Mine Planning and Design Institute
Q5. With reference to the Ministry of Coal's captive and commercial mine performance in FY 2025-26 as compared with FY 2024-25, consider the following statements:
1. Combined production and dispatch from these mines crossed the 200 MT mark for the first time in FY 2025-26.
2. The year-on-year percentage growth in production exceeded that in dispatch.
3. Dispatch registered a higher percentage growth than production.
Which of the statements given above is/are correct?
- Combined production and dispatch from these mines crossed the 200 MT mark for the first time in FY 2025-26.
- The year-on-year percentage growth in production exceeded that in dispatch.
- Dispatch registered a higher percentage growth than production.
- A. 1 and 2 only
- B. 2 and 3 only
- C. 1 and 3 only
- D. 1, 2 and 3
Q6. In FY 2025-26, the highest-ever coal production recorded from India's captive and commercial mines (as on 31 March 2026) stood at which one of the following figures?
- A. 190.95 MT
- B. 204.61 MT
- C. 210.46 MT
- D. 86 MT
Q7. During FY 2025-26, how many captive and commercial coal blocks were operationalised through the grant of Mine Opening Permission (MOP)?
Q8. The Single Window Clearance System (SWCS) and the Project Monitoring Unit (PMU), credited with faster operationalisation of captive and commercial coal blocks, function under which one of the following?
- A. NITI Aayog
- B. The Ministry of Coal
- C. The Ministry of Environment, Forest and Climate Change
- D. Coal India Limited
Q9. Which of the following statements about the distinction between captive and commercial coal mines in India is/are correctly stated?
1. In a captive mine, the coal produced is used by the allottee for its own end-use, such as power, steel or cement.
2. Coal from a commercial mine can be sold in the open market without any end-use restriction.
3. Commercial coal mining without end-use restriction was introduced after the 2020 amendment.
4. Captive coal mining became permissible only after the Supreme Court verdict of 2014.
Which of the statements given above are correctly stated?
- In a captive mine, the coal produced is used by the allottee for its own end-use, such as power, steel or cement.
- Coal from a commercial mine can be sold in the open market without any end-use restriction.
- Commercial coal mining without end-use restriction was introduced after the 2020 amendment.
- Captive coal mining became permissible only after the Supreme Court verdict of 2014.
- A. 1, 2 and 3
- B. 1, 3 and 4
- C. 2, 3 and 4
- D. 1, 2, 3 and 4
Q10. With reference to the commercial coal mining regime introduced after 2020, consider the following statements:
1. Bidders bid on the percentage revenue share offered over a reserve price.
2. The auction is conducted through the MSTC electronic platform.
3. Only companies with prior coal-mining experience in India are eligible to bid.
4. Coal produced from commercial mines can be sold in the open market.
Which of the statements given above is/are NOT correct?
- Bidders bid on the percentage revenue share offered over a reserve price.
- The auction is conducted through the MSTC electronic platform.
- Only companies with prior coal-mining experience in India are eligible to bid.
- Coal produced from commercial mines can be sold in the open market.
- A. 1 and 3
- B. 2 and 4
- C. 3 only
- D. 3 and 4
Q11. Consider the following pairings of institution with its role in India's coal-block regime:
1. Nominated Authority — conducts the auction and vesting of coal mines under the CMSP Act, 2015.
2. MSTC Limited — provides the electronic platform for commercial coal-mine auctions.
3. Coal India Limited — is the nodal ministry that grants Mine Opening Permissions.
Which of the pairings given above is/are correct?
- Nominated Authority — conducts the auction and vesting of coal mines under the CMSP Act, 2015.
- MSTC Limited — provides the electronic platform for commercial coal-mine auctions.
- Coal India Limited — is the nodal ministry that grants Mine Opening Permissions.
- A. 1 and 2 only
- B. 2 and 3 only
- C. 1 and 3 only
- D. 1, 2 and 3
Q12. Which of the following statements relating to commercial coal mining and the Aatmanirbhar Bharat initiative is/are correctly stated?
1. The 18 June 2020 launch of commercial coal-mine auctions was part of the Aatmanirbhar Bharat Abhiyan.
2. The nation's first commercial coal-mine auction was projected to yield about Rs 6,656 crore of annual revenue to the States.
3. Commercial coal mining aims to reduce India's dependence on coal imports.
4. The first commercial coal auction of 2020 placed 87 coal blocks on offer.
Which of the statements given above are correctly stated?
- The 18 June 2020 launch of commercial coal-mine auctions was part of the Aatmanirbhar Bharat Abhiyan.
- The nation's first commercial coal-mine auction was projected to yield about Rs 6,656 crore of annual revenue to the States.
- Commercial coal mining aims to reduce India's dependence on coal imports.
- The first commercial coal auction of 2020 placed 87 coal blocks on offer.
- A. 1, 2 and 3
- B. 2, 3 and 4
- C. 1 and 4 only
- D. 1, 2, 3 and 4