EconomyTuesday, 28 July 2026·The Hindu - Economy
India’s mine-closure corpus of ₹40,000 crore pushes circular economy and green reuse
The Union government’s ₹40,000-crore mine-closure corpus and 2025 guidelines aim to scientifically close more than 105 mines and support community development.
Key highlights
Direct fact
In 2026, the Union government’s ₹40,000-crore mine-closure corpus, backed by the 2025 Mine Closure Guidelines, was presented as a circular-economy measure for scientific closure and land reuse.
Key specifics
- The mine-closure corpus announced by the Union government is ₹40,000 crore.
- The 2025 Mine Closure Guidelines mandate progressive closure, escrow-based financial assurance and independent monitoring.
- Over the past two years, 42 mines were closed, and the Ministry of Coal aims to close more than 105 mines.
- 25% of approved closure costs, around ₹10,000 crore over the coming decade, is earmarked for community development.
- The Ministry of Coal and GIZ of Germany signed an implementation pact on ‘To-be closed mines’ for technical cooperation.
Exam lens
Economy and environment-linked policy question, ₹40,000 crore corpus, 2025 guidelines, 42 mines closed, 25% community development, GIZ pact; TNPSC may ask about scientific mine closure and circular economy.