Tamil Nadu is the largest producer of lignite in the country. According to statistics released by the Union Ministry of Coal for 2022-23, Tamil Nadu accounted for 49.97% of the production, followed by Gujarat at 27.37% ,and Rajasthan at 22.67%.
NLC India Ltd., headquartered at Neyveli in Tamil Nadu, contributes a lion’s share of lignite production. The public sector undertaking (PSU) lists, as among its performance highlights, the all-time high coal and lignite production of 36.32 tonnes in 2023-24 across the country.
In Tamil Nadu, the NLCIL’s installed power generation capacity is 4,390 MW of thermal projects and 1,411 MW of renewable energy projects. Officials said some challenges in land acquisition had been overcome and that lignite production would be ramped up. However, much emphasis is also being laid on capacity addition through renewable energy sources.
