The Department of Energy (DOE) is updating the country’s small-scale coal \mining (SSCM) program, aiming to make it more structured, transparent, and environmentally responsible. The agency said the draft framework introduces clearer rules on health and safety, labor protection, environmental safeguards, and operational accountability.
The DOE is conducting public consultations on the proposed rules through its Energy Resource Development Bureau and Coal and Nuclear Minerals Division. The review also emphasizes protecting Indigenous Peoples’ rights, simplifying permit applications, and clarifying responsibilities for permit holders, including grounds for cancellation.
“This first draft marks a new beginning for SSCM… nearly four decades after the program’s 1987 start, it’s time to modernize,” said DOE Undersecretary Alessandro Sales.
Alongside the consultation, DOE is running an education campaign on proper handling, transport, storage, and distribution of coal. The updated rules aim to ensure coal operations are safe, responsible, and have minimal environmental impact.
In related energy policy updates, DOE clarified coal-fired power plant rules amid the ongoing moratorium, in place since December 2020. Existing projects and certain off-grid or industrial-use coal plants may still proceed, while new on-grid coal capacity will be allowed only in exceptional circumstances, such as imminent power shortages. Projects with letters of non-coverage must commit to commercial operations and develop time-bound plans to transition to clean energy by 2060 or earlier.
DOE data show that as of July 2025, coal accounts for 41 percent of the country’s 31,701 MW grid-connected capacity, highlighting the continuing role of coal in the national energy mix even as the country plans a gradual shift toward cleaner alternatives.
