Govt defends Tara coal block auction, explains what changed between 2023 and 2026

The Coal Ministry on Friday said the auction of the Tara coal block in Chhattisgarh was carried out only after the state government sought its inclusion in the auction process and the block's boundary was revised to remove the influence zone of the Lemru Elephant Corridor.

The ministry's clarification came amid criticism over the auction of the Tara coal block in the Hasdeo-Arand region.

Congress leader Jairam Ramesh alleged that the move amounted to an "ecocide".

Rejecting reports that questioned the auction process, the Coal Ministry said the Tara coal block had initially been offered under the seventh tranche of commercial coal mine auctions in 2023.

However, it was subsequently taken out of the auction after the Chhattisgarh government requested the exclusion of coal blocks in the Hasdeo-Arand area from commercial coal mine auctions.

"Accordingly, the coal blocks in Hasdeo Arand area having overlap with Lemru elephant corridor were not offered in the subsequent tranches of commercial coal mine auctions," the ministry said in a statement.

The ministry said the position changed after it received a letter from the Chhattisgarh government dated December 11, 2025, requesting that the Tara coal block be included in an upcoming auction.

The state government had stated that the coal block was outside the Lemru Elephant Corridor and could be offered in the upcoming tranche, according to the ministry.

The block was put up for auction in the 15th round of commercial coal mine auctions after its boundary was revised by the Central Mine Planning and Design Institute Ltd (CMPDIL), duly removing the influence zone of the Lemru Elephant Corridor.

The block was subsequently successfully auctioned, the ministry said.

The auction attracted nine bids and the block was awarded at a revenue share of 37.50%.

The Coal Ministry said the block was expected to generate annual revenue of more than ₹1,200 crore for the Chhattisgarh government and create employment for more than 8,000 people.

"It is clear from above that Tara Coal Block was excluded from auction in July 2023 after considering the concerns raised by the Government of Chhattisgarh," the ministry said.

"It was considered for auction again only after the State Government's communication dated 11.12.2025 and after revision of the block boundary by CMPDIL," it added.

The ministry said media reports on the auction did not take into account these developments and therefore presented incomplete facts.