India’s pledge to attain net-zero emissions by 2070 significantly impacts coal-reliant people, especially in the states of Chhattisgarh, Jharkhand, and Odisha. The report “Understanding the Implication of Coal Transition” analyses the socio-economic vulnerabilities resulting from coal mine closures and the ensuing reduction in coal-dependent lifestyles. The study, conducted by The Energy and Resources Institute (TERI) with assistance from the MacArthur Foundation, utilises a mixed-method research strategy comprising community interviews, Focus Group Discussions (FGDs), and socio-economic surveys. This methodology guarantees a thorough evaluation of the complex issues encountered by coal-dependent communities, examining their effects on human capital, natural resources, infrastructure, social networks, and financial stability.

The findings indicate that the shift from coal entails considerable socio-economic upheaval, with job losses and environmental deterioration identified as major issues. The research underscores diminishing employment prospects, insufficient healthcare infrastructure, water pollution, and land degradation as key vulnerabilities exacerbating the problem for coal-dependent communities. These obstacles are classified within the Five Capitals Framework—Human, Natural, Physical, Social, and Financial—each signifying essential aspects of resilience and vulnerability. The report recommends a set of specific initiatives to enable a Just Transition. Essential recommendations encompass reskilling initiatives for displaced workers, financial inclusion strategies to facilitate alternative livelihoods, environmental restoration projects, and gender-sensitive policies to promote inclusive development. The study emphasises the necessity of a participative and equitable transition plan that protects impacted communities while furthering India’s clean energy objectives through the integration of these measures.