Lok Sabha Question No. 2810 (UNSTARRED), answered on 2022-08-03
Subject: Domestic  Demand of Coal
Ministry: COAL
Asked by: Hasmukhbhai Somabhai Patel

## GOVERNMENT OF INDIA MINISTRY OF COAL LOK SABHA

UNSTARRED QUESTION No.2810 TO BE ANSWERED ON 03.08.2022

Domestic Demand of Coal

## 2810. SHRI PATEL HASMUKHBHAI SOMABHAI:

Will the Minister of COAL be pleased to state:

- (a) whether  the  Government  planned  to  increase  production  to  meet  domestic demands of coal in the country during the last five years;
- (b) if so, the details thereof State/UT-wise; and
- (c) the  steps  taken/being  taken  by  the  Government  to  decrease  the  demand  supply gap of coal in the country?

## Answer

## MINISTER OF  PARLIAMENTARY AFFAIRS, COAL AND MINES (SHRI PRALHAD JOSHI)

( a)&(b):   Coal  is  the  main  stay  of  Indian  Energy  system  and  about  80  %  of  coal production is supplied to power sector and the rest goes to other industrial uses .With "Make In India' initiatives and higher growth projection of the economy, the demand for coal for both power sectors and other industrial uses has been growing. In order to meet the demand of coal, the Government has planned to increase coal production by 7-8 % per year to reach 1.3 Billion Tonne by 2024-25.

The details of   Coal production State-wise during last five years are given below:-

(in Million Tonnes)

| State           |   2017-18 | 2018-19   | 2019-20   | 2020-21   | 2021-22   |
|-----------------|-----------|-----------|-----------|-----------|-----------|
| Assam           |     0.781 | 0.784     | 0.517     | 0.036     | 0.028     |
| Chhattisgarh    |   142.546 | 161.893   | 157.745   | 158.410   | 154.120   |
| Jammu & Kashmir |     0.014 | 0.013     | 0.014     | 0.010     | 0.011     |
| Jharkhand       |   123.297 | 134.666   | 131.763   | 123.428   | 130.104   |
| Madhya Pradesh  |   112.127 | 118.661   | 125.726   | 132.531   | 137.953   |
| Maharashtra     |    42.219 | 49.818    | 54.746    | 47.435    | 56.529    |
| Meghalaya       |     1.529 |           |           |           |           |
| Odisha          |   143.328 | 144.312   | 143.016   | 154.151   | 185.069   |
| Telangana       |    62.01  | 65.160    | 65.703    | 52.603    | 67.233    |
| Uttar Pradesh   |    18.309 | 20.275    | 18.030    | 17.016    | 18.073    |
| West Bengal     |    29.24  | 33.136    | 33.614    | 30.463    | 29.070    |
| Total Coal      |   675.4   | 728.718   | 730.874   | 716.083   | 778.190   |

(c): T he Government has taken several steps to ramp up domestic coal production. 100% Foreign Direct Investment is allowed for commercial mining. An Inter-Ministerial Committee  has  also  been  constituted  in  2020  for  the  purpose  of  coal  import substitution.  Except  allowing  for  very  essential  import  like  coking  coal  and  other higher  grade  coal  which  are  presently  non-substitutable,  effort  are  being  taken  to substitute import of lower grade coal by increasing domestic production. Some of the Major initiatives taken to increase domestic production of coal are as follows:

-  Single Window Clearance portal has been launched  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.
-  Mines and Minerals (Development and Regulation) Act, 1957 amended to allow sale  up to 50% of their annual  production after meeting the requirement of the end use plant.
-  Commercial auction of coal blocks on revenue sharing basis and allotment of specific coal blocks for captive end use.
-  A  Monitoring  Committee  has  been  constituted  under  the  Chairmanship  of Secretary  (Coal)  with  Chief  Secretaries  from  respective  Host  States,  Secretary (MoEF& CC), Coal Controller Organization (CCO) & CMPDIL as members of the Committee  to  conduct  regular  reviews  and  to  expedite  the  development  of blocks.
-  To increase production through MDO model, Coal India Ltd.  has identified 15 MDO Projects having combined capacity of 168.6 Million Tonne per year (MTY) of which Six MDO Projects  have already been  awarded with capacity of  96.74 MTY.
-  Capacity addition through approval of new & expansion PR: CIL has approved 52 projects during FY21 & FY 22. These projects will add additional capacity of more than 250 MTY and projected to contribute additional production of about 102 Mt by FY 25.
-  Advanced Technologies like surface miners, etc. for open cast mining and Power supported  Longwall  (PSLW),  High  wall  Mining,  continuous  miner  etc.  for underground mines  are being deployed tor efficiency and higher production of coal.
-  To improve evacuation efficiency, 44 First Mile Connectivity (FMC) projects are being implemented to consolidate CIL's effort towards upgradation and expansion of coal evacuation infrastructure and minimize transportation of coal through road mode in the first mile.
-  CIL has also invested in the construction of 7 critical new rail line projects for its expansion Brownfield mining projects and Greenfield projects in  Chhattisgarh, Odisha and Jharkhand with  an estimated capital investment of  Rs 20,000 Cr.

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