India Launches Digital Coal Trading Platform

India's government has introduced a new digital platform designed to revolutionize coal trading. The proposed regulated coal exchange is anticipated to launch within 12 months following an application for registration via its dedicated online portal, which opened on July 15, 2026.

The Coal Exchange Rules, 2026, established on June 4, provide a regulatory framework for the transparent and efficient trading of coal and lignite. This initiative aims to enhance price discovery, decrease reliance on opaque bilateral contracts, and broaden access to coal for small and medium-sized businesses.

Eligible participants, including commercial and captive coal miners and consumers, will be able to engage in trading and delivery-based contracts. The exchange will feature a mechanism for discovering prices through a fair and competitive process, with final settlement adjusted based on coal quality. The Coal Controller Organisation (CCO) will serve as the regulator.

To ensure market integrity, the framework includes provisions for market surveillance, oversight to prevent manipulation, and automated audit trails. A Settlement Guarantee Fund (SGF) and a grievance redressal mechanism will also be established to safeguard market operations and address complaints.