JHARKHAND, Nov 9: Jharkhand has unveiled a long-term plan to transition its economy from coal dependence to clean industries, estimating a funding requirement of $256 billion (₹21.52 lakh crore) through 2070. Developed in collaboration with the Institute for Energy Economics and Financial Analysis (IEEFA), the roadmap outlines a phased approach covering mine closures, worker support, industrial diversification, and large scale climate finance mobilisation.
Coal currently contributes nearly one-third of the state’s tax revenue. With India targeting net-zero emissions by 2070, Jharkhand faces the challenge of safeguarding fiscal stability and livelihoods while preparing for a low-carbon economy. Officials stress that proactive planning is essential to prevent sudden economic disruption as coal linked revenues decline.
Development Commissioner Ajoy Kumar Singh described the transition as both a necessity and an opportunity. “Future ready planning integrates social safeguards with economic diversification through investments in green infrastructure, clean energy, and low-carbon sectors to promote inclusive growth,” he said.
The roadmap identifies $12.5 billion (₹1.05 lakh crore) for reskilling workers, income support, enterprise promotion, and compensation for coal dependent families. Mine closure and land restoration are projected to cost $18.1 billion, with thermal power plant decommissioning requiring an additional $5.7 billion.
Jharkhand aims to emerge as a hub for EV and battery manufacturing, solar components, green hydrogen, mineral processing, and advanced materials. The plan also emphasises rural and tribal livelihoods through natural farming, forestry-linked activities, and participation in carbon markets.
IEEFA estimates the transition could generate ₹6.7 lakh crore in new revenue by 2070, offsetting declining coal earnings. Financing strategies include state and central funds, private capital, international climate funds, green bonds, and a proposed coal-asset retirement facility to coordinate early mine closure and rehabilitation.
Shantanu Srivastava of IEEFA described the roadmap as mobilising “unprecedented levels of capital,” while co-author Soni Tiwari called it a “high-risk, high return opportunity” that could position Jharkhand at the forefront of India’s clean-industry transition.
Coal will remain part of the economy in the near term, but officials expect its role to diminish as green-industry corridors expand. Success will depend on policy continuity, institutional capacity, regulatory reforms, and steady long-term finance. If implemented as planned, Jharkhand’s strategy could serve as a model for India’s coal regions and mark a turning point in the state’s economic trajectory.