The Cabinet Committee on Economic Affairs, under the leadership of Prime Minister Narendra Modi, has approved the Revised Jharia Master Plan (JMP) to address the long-standing challenges of coal seam fires, land subsidence, and rehabilitation in Jharkhand’s Jharia coalfield. The plan, with a financial allocation of ₹5,940.47 crore, will be implemented in phases, beginning with the most vulnerable areas where human lives are at immediate risk.
As per government sources, Coal India Limited (CIL) will contribute ₹500 crore annually to support the implementation of the plan. The initial phase will prioritise the evacuation and rehabilitation of families residing in high-risk zones, while subsequent efforts will focus on regions with lower levels of threat. Both Coal India and its subsidiary BCCL will be tasked with containing current fires and preventing future outbreaks.
An important policy shift in the revised plan is the introduction of a cash compensation option once the existing inventory of constructed houses is exhausted. Moreover, affected sites will be classified into mining and non-mining zones to streamline planning and execution.
The rehabilitation strategy goes beyond relocation. Each resettled family, whether holding legal land titles or not, will receive a livelihood grant of ₹1 lakh and access to credit of up to ₹3 lakh. A dedicated Jharia Alternative Livelihoods Rehabilitation Fund will be set up, and skill training will be conducted in partnership with Multi Skill Development Institutes operating in the region.
Resettlement colonies will be equipped with essential infrastructure, including paved roads, electricity, water supply, sewage systems, schools, hospitals, and community spaces. These facilities will be developed in line with the recommendations of the Implementation Committee formed for the Revised JMP.
Notable progress has already been made—critical fire sites have been brought down from 77 to 27, and out of 33,965 proposed houses, construction of 30473 have been completed so far.
It is worth noting that Zee Business had reported extensively on the status of the Jharia rehabilitation and fire control efforts in January 2024, calling for a more robust and responsive action plan.
The revised plan reflects a shift towards a more structured and humane approach to solving one of the country’s longest-running industrial and environmental challenges.
