Lok Sabha Question No. 2902 (UNSTARRED), answered on 2020-03-11
Subject: Coal Supply to Power Plants
Ministry: COAL
Asked by: S. Jothimani

## GOVERNMENT OF INDIA MINISTRY OF COAL LOK SABHA UNSTARRED QUESTION NO.2902

## TO BE ANSWERED ON 11.03.2020

## Coal Supply to Power Plants

## 2902.  MS. S. JOTHIMANI:

## Will the Minister of COAL be pleased to state:

- (a) whether the Government has taken up serious measures to improve coal supplies  to  power  plants  after  the  hike  in  electricity  prices  at  energy exchanges;
- (b) if so, the details thereof;
- (c) whether the Government has decided to use dedicated rail transportation for coal movements;
- (d) if so, the details thereof;
- (e)  the  details  of  measures  being  taken by  the  Government to improve the low fare-to-freight ratio with respect to the transportation of coal; and
- (f)  the  list  of  coal  transportation  projects  implemented  in  Karur,  Tamil Nadu?

## ANSWER

## MINISTER OF COAL, MINES AND PARLIAMENTARY AFFAIRS

## (SHRI PRALHAD JOSHI)

- (a) & (b): A number of steps have been taken by the Government to augment and monitor coal dispatches to the power houses. Some of the steps taken are as under:
- i. The power plants in close vicinity of coal fields have been advised to move coal through road mode.
- ii. The power plants have been advised to move coal through road-cumrail mode by utilizing of Goods shed sidings of Railways.
- iii. Optimal utilization of the captive modes of transport like, MGR, Belts, Ropes to move coal to the concerned power plants.
- iv. Priority  is  given  to  supply  of  coal  to  Power  plants  through  rail mode.
- v. Coal  supplies  to  Power  sector  are  monitored  regularly  by  an  InterMinisterial Sub Group, comprising representatives from the Ministries of Power, Coal, Railways and Shipping, the Central Electricity Authority  (CEA),  Coal  India  Limited  (CIL)  etc.  This  Sub  Group  has been meeting periodically in order to take various operational decisions  for  meeting  any  contingent  situations  relating  to  Power Sector  including  critical  coal  stock  position  for  power  plants.
- vi. A committee comprising of the Secretary (Coal), the Secretary (Power) and Member (Traffic), Railway Board, reviews the coal transportation and supply to power plants.

The coal stock at Thermal Power Plants has increased to 38.19 MT as on 05.03.2020 from 30.94 Million Tonnes (MT) on 31.03.2019.

(c)  &  (d) :  Adequate  rail  infrastructure  is  being  created  to  facilitate  rail transportation of coal.  For example, movement of coal from eastern parts of the country to northern parts of the country would get greatly facilitated with  completion  of  Eastern  Dedicated  Freight  Corridor.   Further,  most  of the  coal  carrying  routes  are under  substantial  augmentation  alongwith induction of wagons required for transportation of coal.

(e): For improving coal loading as well as to improve low fare-to-freight ratio following measures have been taken:

1. Policy  Guidelines  on  Merry  go  Round  (MGR)  System:  With  a  view  to facilitating transportation of coal from mines to power houses near pit heads, the Merry-go-round policy has been rationalized and issued on 23.03.2016, as a marketing strategy. The freight rates for MGR have been kept very competitive which is about 82% lower than the normal freight rate. Impact of this policy is very encouraging.
2. With effect from 15.01.2018, the Busy Season Charge and Development charge is not levied in Coal & Coke traffic. Further, the freight of all commodities including Coal & Coke has been rationalized w.e.f. 01.11.2018.

(f): There  is  no  ongoing  Newline/doubling  project  falling  partly/fully  in Karur of Tamil Nadu.

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