State-owned Coal India Ltd's contribution to the government exchequer dropped marginally by 0.6 per cent to Rs 28,930.27 crore in the first half of the ongoing fiscal over the year-ago period.

Coal India Ltd (CIL), which accounts for over 80 per cent of the domestic coal output, paid Rs 29,122.13 crore to the government exchequer in April-September period of FY24, according to provisional figures of the coal ministry.

Total levies paid to the government in September also dropped by 11.1 per cent to Rs 4,335.24 crore from Rs 4,878.84 crore paid in the corresponding month of FY24.

Of the total Rs 28,930.27 crore paid to the government exchequer in April-September FY25, maximum amount of Rs 6,452.30 crore went to the Jharkhand government, followed by Rs 6,383.14 crore to the Odisha government, Rs 5,432.02 crore to Chhattisgarh, Rs 5,177.41 crore to Madhya Pradesh, and Rs 2,782.25 crore to Maharashtra, among others.

The coal-producing states earned the revenue from royalty, District Mineral Foundation (DMF) and National Mineral Exploration Trust (NMET), among others.

The government had earlier said that coal-producing states earned a revenue of Rs 1.52 lakh crore in the last nine years from royalty, DMF and NMET.

The coal mining sector has proved to be a big booster for the economic growth of the states that produce the fossil fuel.

The PSU's coal output in April-September period of the current fiscal year increased 2.5 per cent to 341.5 MT, over 332.9 MT in the year-ago period.

Coal India's production rose 10 per cent to 773.6 million tonne in 2023-24 but fell short of its production target of 780 MT for the fiscal year.

The company's output was 703.2 MT in the preceding 2022-23 fiscal year.