New Delhi May 22 :Shares of Coal India Ltd, the world’s biggest coal miner, hit their highest level in nearly three years on Thursday after Reuters reported that Narendra Modi, who will become prime minister on Monday, was exploring breaking up the company and opening up the sector.

The stock was among the top gainers on the Nifty, rising as much as 8.22 percent in early trade to 401.40 rupees, the highest since August 2011.  

Modi will need to fix India’s inefficient energy sector coal sector quickly to improve electricity supply across the country. Coal generates more than half of the country’s power and is the cheapest form of energy.

Coal India accounts for 80 percent of  India’s Coal output but has rarely met its output targets. Consequently India is the world’s no. 3 importer of Coal.