Northeast India has a good deposit of sub-bituminous tertiary coal. The northeast Indian coals have unusual physico-chemical characteristics such as high sulfur, volatile matter and vitrinite content, and low ash content. In addition, many environmental sensitive organic and mineral bound elements such as Fe, Mg, Bi, Al, V, Cu, Cd, Ni, Pb, and Mn etc. remain enriched in these coals. Such characteristics are associated with more severe environmental impacts due to mining and its utilization in coal based industries. Environmental challenges include large scale landscape damage, soil erosion, loss of forest ecosystem and wildlife habitat, air, water and soil pollution. Several physical and chemical methods are reported in literature for the removal of mineral matter, total sulfur and different forms of sulfur from high sulfur coal in northeast India. This paper may help different researchers and stakeholders to understand current state of research in the field. Initiatives may be taken towards sustainable use of coal resources by adopting innovative clean technologies and by implementing effective control measures and regulatory policies.