Lok Sabha Question No. 2593 (UNSTARRED), answered on 2021-08-04
Subject: Import of Coal
Ministry: COAL
Asked by: Shardaben Anilbhai Patel

(a): Yes Sir.

(b): The details of country-wise import of coal during last five years i.e. 2016-17 to 2020-21 is given below:-

(in Million Tonnes)

| Country      |   2016-17 |   2017-18 |   2018-19 |   2019-20 |   2020-21(P) |
|--------------|-----------|-----------|-----------|-----------|--------------|
| Indonesia    |     91.26 |    95.81  |    112.88 |    116.66 |        92.53 |
| Australia    |     46.65 |    46.15  |     48.17 |     46.72 |        54.95 |
| South Africa |     33.98 |    38.49  |     31.15 |     42.48 |        31.14 |
| U.S.A.       |      5.1  |    12.03  |     14.98 |     12.16 |        12.2  |
| New Zealand  |      0.48 |     0.6   |      0.5  |      0.41 |         0.23 |
| Canada       |      2.38 |     3.56  |      4.46 |      4.69 |         2.96 |
| Mozambique   |      3.71 |     5.91  |      7.09 |      5.48 |         3.57 |
| Russia       |      4.2  |     4.3   |      4.92 |      8.23 |         6.75 |
| Sub-Total    |    187.76 |   206.85  |    224.15 |    236.83 |       204.34 |
| Others       |      3.19 |     1.409 |     11.2  |     11.71 |        10.65 |
| Total        |    190.95 |   208.27  |    235.35 |    248.54 |       214.99 |

## P=Provisional

Country wise coal import for the current year (2021-22) is not available.

(c): Price of imported coal depends upon quality and source country.   Therefore, no single price of imported coal is available. However, quantity and value of total coal imported during last five years is given below:-

## GOVERNMENT OF INDIA MINISTRY OF COAL

LOK SABHA

UNSTARRED QUESTION No.2593

TO BE ANSWERED ON 04.08.2021

## Import of Coal

2593. SHRIMATI SHARDABEN ANILBHAI PATEL:

Will the Minister of COAL be pleased to state:

- (a) whether coal is being imported in the country since 2014;
- (b) if  so,  country-wise  details  thereof  along  with  the  quantum  of  coal  imported during the last five years and the current year;
- (c) the cost of imported coal as compared to that of the coal produced at domestic level; and
- (d) the steps taken by the Government to promote coal production?

## Answer

## MINISTER OF  PARLIAMENTARY AFFAIRS, COAL AND MINES

## (SHRI PRALHAD JOSHI)

| Quantity and value of Imported Coal   | Quantity and value of Imported Coal   | Quantity and value of Imported Coal   |
|---------------------------------------|---------------------------------------|---------------------------------------|
| Year                                  | Quantity (MT)                         | Value (Rs. Crores)                    |
| 2016-17                               | 190.95                                | 100231                                |
| 2017-18                               | 208.27                                | 138477                                |
| 2018-19                               | 235.35                                | 170920                                |
| 2019-20                               | 248.54                                | 152732                                |
| 2020-21                               | 214.99                                | 116037                                |

The notified price of Coal India Limited (CIL) is at Annexure-I & Annexure-II .

(d):  The  focus  of  the  Government  is  on  increasing  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.

The  following  action  has  also  been  taken  by  Government  to  enhance  the production of the coal in the country which is given below:

i.Launch  of  Commercial  Auction: Auction  of  commercial  mining  on  revenue sharing  mechanism  from  5  coal  bearing  states  (Jharkhand,  Madhya  Pradesh, Maharashtra, Odisha and Chhattisgarh) was launched on 18.06.2020. During this round of auction,  20  coal  mines  with  aggregate  peak  capacity  of  59  MTPA  were successfully  auctioned.      Second  Tranche  of  auction  for  commercial  mining  was launched  by  Ministry  of  Coal  on  25.03.2021.  In  the  second  Tranche,  a  total  of 67coal mines/blocks were offered.  Further to cater to the demand of the coking coal consumers, 6 coking coal mines have been put on offer. The cumulative PRC for the fully explored mines on offer has been estimated at 150 MTPA.

ii.Concept  of  Rolling  Auction: In  order  to  expedite  the  process  for  conducting auction and to carry out more rounds of auction in a year, a mechanism of rolling auctions  of  coal  mines  has  been  planned.    Under  this  mechanism,  upon completion of the electronic auction process of a tranche (i.e. approximately 3-4 months from the launch of auction process), the next tranche of auction would be launched for following mines:

- a. Mines where no bid or only single bid was received in the previous tranche of auction  (except  for  those  mines  where  Ministry  of  Coal  decides  to  go  for  second attempt of auction)
- b. New mines, if any, identified by Ministry of Coal

iii.Engagement  of  PMU: Project  Management  Unit  (PMU)  has  been  engaged  by Ministry  of  Coal  for  handholding  of  coal  block  allottees  for  obtaining  various approvals  /clearances  for  early  operationalisation  of  coal  mines  allocated  under CMSP Act, 2015.

iv.Launch  of  Single  Window  Clearance: The  Union  government  has  launched Single Window Clearance portal for the coal sector to speed up the operationalisation of coal mines. It is an unified platform that facilitates grant of clearances and approvals required for starting a coal mine in India.

v. The MMDR Act has been amended in March, 2021 which, inter alia, allows all captive  mines  to  sell  up  to  50%  of  the  minerals  produced  during  the  year  after meeting the requirement of attached plant.

vi. Coal  India  Ltd.  has  envisaged  a  coal  production  programme  of  one  Billion Tonne from CIL mines by the year 2023-24. This will help in reducing imports and will  also  protect  the  capital  of  the  country.  CIL  has  taken  the  following  steps  to achieve the target of augmentation of coal production capacity:

1. Implementing on-going projects in time bound manner to achieve targeted production as per schedule.
2. Introduction  of  Surface  Miners  in  Open  Cast  (OC)  mines  to  improve operational efficiency and cater to environmental needs.
3. Introduction of Mass Production Technology in underground coal mines.
4. 15 Projects identified with a Capacity of about 160 MTPA (Million Tonnes per Annum) to be operated by Mine Developer cum Operator mode.
5. Capacity  addition  through  special  dispensation  in  Environment  Clearance under clause 7(ii) of Environmental Impact Assessment (EIA) 2006
6. CIL  has  taken  steps  to  upgrade  the  mechanized  coal  transportation  and loading system under 'First Mile Connectivity' projects..

***

ANNEXURE-I

PIT  HEAD  ROM  PRICE  OF  NON-COKING  COAL  APPLICABLE  FOR  EASTERN COALFIELDS LIMITED,  BHARAT  COKING  COAL  LIMITED,  CENTRAL  COALFIELDS LIMITED,  NORTHERN  COALFIELDS  LIMITED,  MAHANADI  COALFIELDS  LIMITED, SOUTH EASTERN COALFIELDS LIMITED AND NORTH EASTERN COALFIELDS.

| Grade   | GCV                                   | Run of mine price for Non-Coking coal                        | Run of mine price for Non-Coking coal                                   |
|---------|---------------------------------------|--------------------------------------------------------------|-------------------------------------------------------------------------|
|         |                                       | Power Utilities (including IPPs), Fertilizer &Defence sector | Sectors other than Power Utilities (including IPPs) Fertilizer &Defence |
|         | (kcal/kg)                             | (Rs./Te)                                                     | (Rs./Te)                                                                |
| G1      | Exceeding 7000                        | *                                                            | *                                                                       |
| G2      | Exceeding 6700 and not exceeding 7000 | 3288                                                         | 3288                                                                    |
| G3      | Exceeding 6400 and not exceeding 6700 | 3144                                                         | 3144                                                                    |
| G4      | Exceeding 6100 and not exceeding 6400 | 3000                                                         | 3000                                                                    |
| G5      | Exceeding 5800 and not exceeding 6100 | 2737                                                         | 2737                                                                    |
| G6      | Exceeding 5500 and not exceeding 5800 | 2317                                                         | 2524                                                                    |
| G7      | Exceeding 5200 and not exceeding 5500 | 1926                                                         | 2311                                                                    |
| G8      | Exceeding 4900 and not exceeding 5200 | 1465                                                         | 1757                                                                    |
| G9      | Exceeding 4600 and not exceeding 4900 | 1140                                                         | 1368                                                                    |
| G10     | Exceeding 4300 and not exceeding 4600 | 1024                                                         | 1228                                                                    |
| G11     | Exceeding 4000 and not exceeding 4300 | 955                                                          | 1145                                                                    |
| G12     | Exceeding 3700 and not exceeding 4000 | 886                                                          | 1063                                                                    |
| G13     | Exceeding 3400 and not exceeding 3700 | 817                                                          | 980                                                                     |
| G14     | Exceeding 3100 and not exceeding 3400 | 748                                                          | 897                                                                     |
| G15     | Exceeding 2800 and not exceeding 3100 | 590                                                          | 708                                                                     |
| G16     | Exceeding 2500 and not exceeding 2800 | 504                                                          | 604                                                                     |
| G17     | Exceeding 2200 and not exceeding 2500 | 447                                                          | 536                                                                     |

*    For GCV exceeding 7000 Kcal/Kg, the price shall be increased by Rs. 100/- per tonne over and above the price applicable for GCV band exceeding 6700 but not exceeding  7000  Kcal/Kg,  for  increase  in  GCV  by  every  100  Kcal/Kg  or  part thereof.

An  additional  amount  of  Rs.  450  per  tonne  (as  per  existing  practice)  to  be charged over and above the notified price in respect of the coal produced from Rajmahal mine of Eastern Coalfields Limited.

## ANNEXURE-II

## PIT  HEAD  RUN  OF  MINE  PRICE  OF  NON-COKING  COAL  APPLICABLE  FOR WESTERN COALFIELDS LIMITED.

| Grade   |                                       | Pithead Run of mine price for Non- Coking coal                     | Pithead Run of mine price for Non- Coking coal                  |
|---------|---------------------------------------|--------------------------------------------------------------------|-----------------------------------------------------------------|
|         | companies of Coal India GCV Range     | Limited including NEC Power Utilities (including IPPs), Fertilizer | except WCL Sectors other than Power Utilities (including IPPs), |
|         | (Kcal/Kg)                             | &Defence sector (Rs./Te)                                           | Fertilizer &Defence (Rs./Te)                                    |
| G1      | Exceeding 7000                        | *                                                                  | *                                                               |
| G2      | Exceeding 6700 and not exceeding 7000 | 3288                                                               | 3288                                                            |
| G3      | Exceeding 6400 and not exceeding 6700 | 3144                                                               | 3144                                                            |
| G4      | Exceeding 6100 and not exceeding 6400 | 3000                                                               | 3000                                                            |
| G5      | Exceeding 5800 and not exceeding 6100 | 2737                                                               | 2737                                                            |
| G6      | Exceeding 5500 and not exceeding 5800 | 2524                                                               | 2580                                                            |
| G7      | Exceeding 5200 and not exceeding 5500 | 2311                                                               | 2423                                                            |
| G8      | Exceeding 4900 and not exceeding 5200 | 1757                                                               | 2109                                                            |
| G9      | Exceeding 4600 and not exceeding 4900 | 1368                                                               | 1642                                                            |
| G10     | Exceeding 4300 and not exceeding 4600 | 1228                                                               | 1474                                                            |
| G11     | Exceeding 4000 and not exceeding 4300 | 1145                                                               | 1374                                                            |
| G12     | Exceeding 3700 and not exceeding 4000 | 1063                                                               | 1275                                                            |
| G13     | Exceeding 3400 and not exceeding 3700 | 980                                                                | 1176                                                            |
| G14     | Exceeding 3100 and not exceeding 3400 | 897                                                                | 1076                                                            |
| G15     | Exceeding 2800 and not exceeding 3100 | 708                                                                | 850                                                             |
| G16     | Exceeding 2500 and not exceeding 2800 | 604                                                                | 725                                                             |
| G17     | Exceeding 2200 and not exceeding 2500 | 536                                                                | 643                                                             |

* For  GCV  exceeding  7000  Kcal/Kg,  the  price  shall  be  increased  by  Rs. 100/-  per  tonne  over  and  above  the  price  applicable  for  GCV  band exceeding 6700 but not exceeding 7000 Kcal/Kg, for increase in GCV by every 100 Kcal/Kg or part thereof.

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