In mining areas a huge amount of waste water is generated through coal based industries. It is very toxic in nature and contains non–biodegradable substances. On contamination with these water sources there is depletion in water quality, environmental flora, fauna and health hazards to mankind. This waste water is disposed off in the nearby water bodies without treatment. It creates a lot of problem for the aquatic life as well as for the nearby habitats. Many successful methods have been applied for the treatment of waste water. Waste water is needed to be treated through different techniques which enables it to make it potable and for multipurpose uses. Furthermore some biological treatments are also required for this. Biotechnology plays a vital role in reducing hazards of toxic materials and other harmful substances released during various mining processes. Micro-organisms have several uses in the environment in controlling water pollution and in the treatment of toxic wastes present in waste water coming from coal based industries. In mining industries microbes are used to leach metals from mine dumps and treat liquid and solid wastes. Hence this will be the most effective methods of treatment of waste water generated from different coal based industries and it will also provide a platform for sustainable development and an eco-friendly approach for the human kind. The present paper highlights on the different wastes generated by coal based industries and on their treatment through different methods and technologies used in coal mining.