Govt plans to increase coal production

Coal demand in India is expected to grow from 649 mt a year now to 730 mt a year in 2016-17

GN Bureau | October 22, 2013



India plans to mine an additional 240 million tonnes per annum (mtpa) of coal from 26 new fields in the five years to March 2022. The plan is yet to be finalised and will be presented to the prime minister Manmohan Singh, according to a news report published in the Mint. The ministries of power and coal and the Planning Commission are involved in drafting the plan that will be implemented by state-owned Coal India Limited (CIL).

According to the government official the coal requirement is estimated to be around 850 mtpa by the end of the 13th plan (2017-22), but the availability is limited. The power projects, most of which are fuelled by coal, have been hit hard by the shortage of the fuel.

Coal demand in India is expected to grow from 649 mt a year now to 730 mt a year in 2016-17, with the projected local availability being only 550 mt per year. According to the analyst the target may not be met in the initial years of the plan because it takes a minimum of around six years for the coal to be mined from the date of allocating a field.

There’s also the problem of laying railway lines to transport the fuel. Indian railways are laying lines to ship coal from mines in Chhattisgarh, Jharkhand and Odisha at a cost of Rs 4,000 crore. The railways moves 52% of the coal mined in the country, a share that’s expected to rise to 58% in 2016-17. The shortage of last-mile rail links has slowed the movement of coal from fields to consumption points such as power generation plants.

India’s bid to boost local production has got bogged down in delayed and more stringent environmental approval processes in the recent past. The process by which mines are allotted has also being questioned after allegations of preferential treatment and corruption, including the period when the prime minister held the coal portfolio.

The new land acquisition law is expected to make it tougher and more expensive to acquire land for mining.

Comments

 

Other News

Elections 2024: 1,351 candidates in fray for Phase 3

As many as 1,351 candidates from 12 states /UTs are contesting elections in Phase 3 of Lok Sabha Elections 2024. The number includes eight contesting candidates for the adjourned poll in 29-Betul (ST) PC of Madhya Pradesh. Additionally, one candidate from Surat PC in Gujarat has been elected unopp

2023-24 net direct tax collections exceed budget estimates by 7.40%

The provisional figures of direct tax collections for the financial year 2023-24 show that net collections are at Rs. 19.58 lakh crore, 17.70% more than Rs. 16.64 lakh crore in 2022-23. The Budget Estimates (BE) for Direct Tax revenue in the Union Budget for FY 2023-24 were fixed at Rs. 18.

‘World’s biggest festival of democracy’ begins

The much-awaited General Elections of 2024, billed as the world’s biggest festival of democracy, began on Friday with Phase 1 of polling in 102 Parliamentary Constituencies (the highest among all seven phases) in 21 States/ UTs and 92 Assembly Constituencies in the State Assembly Elections in Arunach

A sustainability warrior’s heartfelt stories of life’s fleeting moments

Fit In, Stand Out, Walk: Stories from a Pushed Away Hill By Shailini Sheth Amin Notion Press, Rs 399

What EU’s AI Act means for the world

The recent European Union (EU) policy on artificial intelligence (AI) will be a game-changer and likely to become the de-facto standard not only for the conduct of businesses but also for the way consumers think about AI tools. Governments across the globe have been grappling with the rapid rise of AI tool

Indian Railways celebrates 171 years of its pioneering journey

The Indian Railways is celebrating 171 glorious years of its existence. Going back in time, the first train in India (and Asia) ran between Mumbai and Thane on April 16, 1853. It was flagged off from Boribunder (where CSMT stands today). As the years passed, the Great Indian Peninsula Railway which ran the

Visionary Talk: Amitabh Gupta, Pune Police Commissioner with Kailashnath Adhikari, MD, Governance Now


Archives

Current Issue

Opinion

Facebook Twitter Google Plus Linkedin Subscribe Newsletter

Twitter