Coal minister Sripraksh Jaiswal was promoted as Cabinet minister in Wednesday?s reshuffle while environment minister Jairam Ramesh just managed to hold on to his existing rank of minister of state.

This amounts to an endorsement of Jaiswal?s work by Congress high command and might provide a moral boost to the coal minister, who is currently caught in a tussle with environment ministry over demarcation of coal bearing areas into ?go? and ?no go? zones. The government has already heeded to Jaiswal?s suggestion and constituted a GoM to decide on the go no go issue, which by many is also seen as his growing infleuence in the government.

Since he took charge of the ministry, Jaiswal has been involved in taking several important decisions for the sector. He has steered efforts for legislative changes that would pave the way for auctioning of captive coal mines and transfer of mining leases and help attract bigger private and foreign direct investment investment in the coal sector.

He has also led delegations abroad with focus on getting hold of coal resopurces abroad to meet the growing shortfall in the domestic market. With added responsibility, the minister?s biggest challenge will be to ensure coal in adequate supply in the country.

The country is staring at a rising coal shortfall, with the capacity growing in coal consuming sectors like power, steel and cement while coal production stagnates. For example, the coal requirement of the power industry is estimated at 403 million tonne in the financial year 2011-12 but Coal India has said that it can provide 330 million tonne coal only.

The coal ministry is trying to expedite investment clearances for CIL?s mining projects in a bid to increase coal output. However, its efforts are being hampered by Ramesh?s green activism.

The industry has been dismayed over the environment minister?s policy approach. The Congress high command seems to have sent a clear message to Ramesh by not promoting him in the ministerial reshuffle.