Lok Sabha Question No. 2891 (UNSTARRED), answered on 2020-03-11
Subject: Production of Coal
Ministry: COAL
Asked by: Anumula Revanth Reddy

GOVERNMENT OF INDIA MINISTRY OF COAL LOK SABHA UNSTARRED QUESTION No.2891 TO BE ANSWERED ON 11.03.2020

## Production of Coal

## 2891. SHRI ANUMULAREVANTH REDDY :

Will the Minister of COAL be pleased to state:

- (a) the details regarding all India demand of coal in the last 10 years including current year, year-wise;
- (b) the details of production, supply and import of coal by Coal India Limited (CIL) and its subsidiaries during last 10 years including current year;
- (c) the  details  of  raw  coal  production  by  CIL  and  its  subsidiaries  during  the last 10 years, subsidiary-wise and year-wise;
- (d) the average cost of domestic production of coal and the cost incurred (per Metric tonne) on import of coal from different countries as of now;
- (e) whether the coal sector is facing a slow down and if so, the details thereof and the reasons therefor; and
- (f) the steps taken by the Government to prevent further slow down?

## Answer

## MINISTER OF  PARLIAMENTARY AFFAIRS, COAL AND MINES

## (SHRI PRALHAD JOSHI)

(a)&(b): All India actual demand during last 10 years is given below:-

| Year        | All India Actual Demand (MT)   |
|-------------|--------------------------------|
| 2010-11     | 592.36                         |
| 2011-12     | 638.20                         |
| 2012-13     | 712.94                         |
| 2013-14     | 738.92                         |
| 2014-15     | 821.55                         |
| 2015-16     | 836.39                         |
| 2016-17     | 836.93                         |
| 2017-18     | 898.55                         |
| 2018-19     | 969.47                         |
| 2019-20     | 1000.00#                       |
| # Estimated | # Estimated                    |

## Year-wise production and supply of coal by CIL is given below:

| Year             | Production of coal by CIL (MT)   | Supply of coal by CIL (MT)   |
|------------------|----------------------------------|------------------------------|
| 2010-11          | 431.32                           | 423.78                       |
| 2011-12          | 435.84                           | 432.62                       |
| 2012-13          | 452.20                           | 464.54                       |
| 2013-14          | 462.41                           | 470.92                       |
| 2014-15          | 494.23                           | 488.86                       |
| 2015-16          | 538.75                           | 534.08                       |
| 2016-17          | 554.14                           | 542.98                       |
| 2017-18          | 567.36                           | 580.29                       |
| 2018-19          | 606.89                           | 608.09                       |
| 2019-20          | 517.80 @                         | 528.30 @                     |
| @ upto Feb, 2020 | @ upto Feb, 2020                 | @ upto Feb, 2020             |

CIL has imported coal only for the year 2014-15 and 2015-16 to the tune of 4.83 Lakhs tones and 3.58 Lakhs tones respectively.

(c):  The  details  of  subsidiary  wise,  year-wise  raw  coal  production  by  CIL  and  its subsidiaries during the last ten years is given below:-

(in Million Tonnes)

| Co.   |   2010-11 Actual |   2011-12 Actual |   2012-13 Actual |   2013-14 Actual |   2014-15 Actual |   2015-16 Actual |   2016-17 Actual |   2017-18 Actual |   2018-19 Actual |   2019-20 Actual |
|-------|------------------|------------------|------------------|------------------|------------------|------------------|------------------|------------------|------------------|------------------|
| ECL   |            30.8  |           30.584 |           33.901 |            36.05 |            40.01 |            40.21 |            40.52 |            43.57 |            50.16 |            43.9  |
| BCCL  |            29.01 |           30.191 |           31.211 |            32.61 |            34.51 |            35.86 |            37.04 |            32.61 |            31.04 |            24.34 |
| CCL   |            47.52 |           48.024 |           48.061 |            50.02 |            55.65 |            61.32 |            67.05 |            63.4  |            68.72 |            55.45 |
| NCL   |            66.25 |           66.399 |           70.021 |            68.64 |            72.48 |            80.22 |            84.1  |            93.02 |           101.5  |            98.05 |
| WCL   |            43.65 |           43.115 |           42.287 |            39.73 |            41.15 |            44.82 |            45.63 |            46.22 |            53.18 |            47.07 |
| SECL  |           112.71 |          113.834 |          118.219 |           124.26 |           128.27 |           137.93 |           140.01 |           144.71 |           157.35 |           127.5  |
| MCL   |           100.28 |          103.116 |          107.895 |           110.44 |           121.38 |           137.9  |           139.21 |           143.06 |           144.15 |           121.11 |
| NEC   |             1.1  |            0.997 |            0.605 |             0.66 |             0.78 |             0.49 |             0.6  |             0.78 |             0.78 |             0.38 |
| CIL   |           431.32 |          435.86  |          452.2   |           462.41 |           494.23 |           538.75 |           554.14 |           567.36 |           606.89 |           517.8  |

(d): Average cost of production of CIL mines in 2018-19 was Rs.1145.85 per tonne. Cost incurred per tonne on import of coal during 2018-19 was Rs.7764.

(e)&(f): All India coal production achieved a growth of 8.1% in 2018-19. During April 19 Feb. 20, coal production declined by 0.64% as compared to the corresponding period of the previous year. The decline in coal production is largely due to heavy rainfall witnessed in  the  coal  mining  areas  in  the  current  year  which  was  around  25%  more  than  the previous  year.  Further,  rains  also  continued  during  the  month  of  October.  However, production has started showing an upward trend since November, 2019 and the country achieved highest ever production of 74.8 MT in the last five years in January, 2020 and 77.96 MT in February, 2020.

The  focus  of  the  Government  is  on  accelerating  domestic  production  of  coal  through allocation  of  more  coal  blocks,  pursuing  with  State  Government  for  assistance  in  land acquisition and coordinated efforts with Railways for movement of coal.

In order to enhance domestic production, 25% of coal production has been allowed for sale of coal for newly allocated coal blocks.

Further, for sale of coal, allowing 100% FDI for coal mining activities including associated processing infrastructure is expected to attract international players and create efficient and competitive coal market.

In  order  to  enhance  coal  production,  Coal  India  Limited  (CIL)  has  taken  the  following steps:

-  CIL  and  its  subsidiaries  have  planned  and  implemented  higher  capacity  mega mines (Capacity>10MTY) with high mechanization. CIL has identified mines/projects for further capacity expansion plan till 2030.
-  Portal  based  monitoring  of  on-going  projects  to  ensure  timely  completion  of projects.
-  Introduction of Surface  Miners  in  opencast  mines  to improve  operational efficiency and cater to environmental needs. During 2018-19, around 50% of the opencast coal production in CIL was through Surface miners.
-  Introduction of Mass Production Technology in underground coal mines: 2 mines are worked with Powered Support Longwall technology and 11 mines are worked with Continuous Miner technology.

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