Lok Sabha Question No. 373 (UNSTARRED), answered on 2018-12-12
Subject: Coal Sold by Public Sector Coal Companies
Ministry: COAL
Asked by: P.R. SUNDARAM, VIJAYSINH MOHITE PATIL, RAJEEV SHANKARRAO SATAV, JAYAKUMAR JAYAVARDHAN, SUPRIYA SADANAND SULE, HEENA VIJAYKUMAR GAVIT, DHANANJAY BHIMRAO MAHADIK

## GOVERNMENT OF INDIA MINISTRY OF COAL LOK SABHA UNSTARRED QUESTION NO.373

## TO BE ANSWERED ON 12.12.2018

## Coal Sold by Public Sector Coal Companies

## 373. SHRI P.R. SUNDARAM:

SHRI MOHITE PATIL VIJAYSINH SHANKARRAO:

SHRI SATAV RAJEEV:

DR. J. JAYAVARDHAN:

SHRIMATI SUPRIYA SULE:

DR. HEENA VIJAYKUMAR GAVIT:

SHRI DHANANJAY MAHADIK:

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

- (a) the total quantum of coal sold by the Public Sector coal companies during the last three years and the current year and quantum of revenue earned therefrom;
- (b) whether the income of these companies has not increased as compared to the target set;
- (c) if so, the details thereof and the reasons therefor;
- (d) whether the Public Sector coal companies have any proposal to take over coal mines  from  the  private  companies,  if  so,  the  details  thereof  along  with  revenue earned from selling of coal mined from those mines; and
- (e)  the  steps  taken  by  the  Government to augment the revenues of Public Sector Coal companies?

## ANSWER

## MINISTER OF  RAILWAYS AND COAL (SHRI PIYUSH GOYAL)

- (a): Details  of  Coal  offtake  (in  Million  Tonnes)  and   sales  (in  Rs.  crore)  from  Coal India  Limited  (CIL)  and  Singareni  Collieries  company  limited  (SCCL)  are  given below:
- (b)  &  (c): The  Revenue  from  Operations  (Net)  vis-à-vis  MOU  Excellent  target depicting  increase/decrease  of  actuals  over  target  for  last  three  years  of  CIL  are given below:

| Particu-   | 2018-19*   | 2018-19*   | 2017-18   | 2017-18   | 2016-2017   | 2016-2017   | 2015-16   | 2015-16   |
|------------|------------|------------|-----------|-----------|-------------|-------------|-----------|-----------|
| lars       | CIL        | SCCL       | CIL       | SCCL      | CIL         | SCCL        | CIL       | SCCL      |
| Offtake    | 290.81     | 31.056     | 580.28    | 64.62     | 543.32      | 60.82       | 534.50    | 58.66     |
| Sales      | 43310.51   | 7213.71    | 83106.13  | 13923.16  | 81046.63    | 12805.77    | 81071.68  | 13438.46  |
| Less:      | -          | -          | 1376.67   | 218.31    | 5443.77     | 854.49      | 5429.90   | 864.18    |
| Net sales  | 43310.51   | 7213.71    | 81729.46  | 13704.85  | 75602.86    | 11951.28    | 75641.78  | 58.66     |

*Till September 2018

(Rs. Crores.)

| Year    | Revenue From Operations (Net)   | Revenue From Operations (Net)   | Revenue From Operations (Net)   |
|---------|---------------------------------|---------------------------------|---------------------------------|
| Year    | MoU Target (Excellent)          | Actual                          | Increase/Decrease               |
| 2017-18 | 82000                           | 85862                           | 3862                            |
| 2016-17 | 84860                           | 78221                           | -6639                           |
| 2015-16 | 76354                           | 78010                           | 1656                            |

There is a decrease in Revenue from Operations (Net) in the year 2016-17 mainly because:

1. The  Coal  Controller  Organization  (CCO)  reassessed  the  grades  of  various mines/seams across all subsidiaries of CIL and corrected the grades of coal in case of 21 mines.
2. There  was  a  change  in  grade  mix  with  lower  grade  coal  production  on  a higher side.
3. E-Auction prices decreased to Rs 1,536 per tonne from Rs 1,858 per tonne resulting in decline of overall SPT of coal.

The  Revenue  from  Operations  (Net)  for  the  last  three  years  of  SCCL  are  given below:

(Rs. Crores)

| Year    |   Revenue from Operation (Net) Actual |
|---------|---------------------------------------|
| 2017-18 |                               13704.9 |
| 2016-17 |                               11951.3 |
| 2015-16 |                               12574.3 |

(d): No, Madam.

(e) :  The following steps are taken by CIL to augment the revenues of CIL:

1. Increased coal production every year to enhance the revenue.
2. Implement  on-going  project  in  time  bound  manner  to  achieve  target production  as  per  schedule  which  in  turn  will  reduce  the  operating  cost. Further  the  implementation  of  ongoing  project  is  also  expedited  through regular meeting at highest levels so that the projects can start production.
3. High capacity mines are being planned with deployment of high capacity / high productivity equipment in mines of CIL. Increase in the production from existing mines is being achieved through capacity expansion and modernization  wherever  feasible  thus  increasing  the  revenue  in  coming years.
4. Efforts  are  being  made  by  all  subsidiaries  for  obtaining  Environment Clearance (EC)  & Forest Clearance (FC)  and possession of required forest land within the scheduled time frame so that project may start production as per schedule.
5. Completion  of   Rail  Projects  during  FY  2018-19  will  help  augmenting despatch & revenue of coal producing companies.

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