Lok Sabha Question No. 1034 (UNSTARRED), answered on 2023-02-08
Subject: Demand and Supply of Coal
Ministry: COAL
Asked by: Dhanush M Kumar, C.N. Annadurai, Manjulata Mandal, Supriya Sadanand Sule, Ganesan Selvam, DNV Senthilkumar. S., Amol Ramsing Kolhe, Subhash Ramrao Bhamre, Sunil Dattatray Tatkare, Kuldeep Rai Sharma

## GOVERNMENT OF INDIA MINISTRY OF COAL LOK SABHA UNSTARRED QUESTION No.1034 TO BE ANSWERED ON 08.02.2023

## Demand and Supply of Coal

## 1034. SHRI DHANUSH M. KUMAR:

SHRI C.N.ANNADURAI:

SHRIMATI MANJULATA MANDAL:

SHRIMATI SUPRIYA SULE:

SHRI SELVAM G.:

DR. DNV SENTHILKUMAR.S:

DR. AMOL RAMSING KOLHE:

DR. SUBHASH RAMRAO BHAMRE:

SHRI SUNIL DATTATRAY TATKARE:

SHRI KULDEEP RAI SHARMA:

Will the Minister of COAL be pleased to state:

- (a) the details of the demand and supply of coal State-wise and plant-wise with particular reference to the States of Tamil Nadu, Odisha and Maharashtra;
- (b) whether there is huge gap between demand and supply of coal in the country and if so, the details thereof along with the percentage of Country's energy needs that are met through Coal;
- (c) whether the demand for coal has increased to meet the energy requirement of the country, if so, the reasons for not increasing the domestic coal production so as to reduce the dependence on imported coal and save foreign currency;
- (d) whether it is proposed to reduce the use of coal globally to save the environment; and
- (e) if so, the details thereof along with the reasons for the increase in the use of coal in the country?

## ANSWER

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

(a)&(b): The  total  demand  and  total  supply  of  coal  and  domestic  supply  of coal  to  the States of Odisha, Maharashtra and Tamil Nadu for the last three years  are given below:

| Year     | Total   | Total Supply   | Total Supply   | Domestic supplies to States   | Domestic supplies to States   | Domestic supplies to States   |
|----------|---------|----------------|----------------|-------------------------------|-------------------------------|-------------------------------|
|          | Demand  | Domestic       | Import         | Odisha                        | Maharashtra                   | Tamil Nadu                    |
| 2019-20  | 955.72  | 707.18         | 248.54         | 76.04                         | 69.55                         | 18.38                         |
| 2020-21  | 906.13  | 690.88         | 215.25         | 89.41                         | 61.88                         | 17.00                         |
| 2021-22* | 1027.92 | 818.99         | 208.93         | 96.98                         | 82.63                         | 27.49                         |

As conveyed by CEA, the actual electricity generation from coal based power plants,  total  generation  and  contribution  of  coal  based  generation  in  total generation in the country during the last five years and the current year 202223 (April to November, 2022) are given as under:-

|                         | Generation (Billion Units)   | Generation (Billion Units)   | %contribution of Coal based Generation in total generation   |
|-------------------------|------------------------------|------------------------------|--------------------------------------------------------------|
| Year                    | Coal Based Generation        | Total Generation             | %contribution of Coal based Generation in total generation   |
| 2017-18                 | 951.8                        | 1308.1                       | 72.8%                                                        |
| 2018-19                 | 987.7                        | 1376.1                       | 71.8%                                                        |
| 2019-20                 | 961.2                        | 1389.1                       | 69.2%                                                        |
| 2020-21                 | 950.9                        | 1381.9                       | 68.8%                                                        |
| 2021-22                 | 1041.5                       | 1491.9                       | 69.8%                                                        |
| 2022-23 (April Nov. 23) | to 747.8                     | 1089.9                       | 68.6%                                                        |

(c): The  actual  demand  for coal  increased to  1027.92  Million  tonne  in  202122 from 906.13 MT in 2020-21. For the current year 2022-23, coal demand has been assessed by the Ministry to reach 1087 MT. As against the increased coal demand, domestic coal production has also increased. In 2021-22, the domestic coal production increased  by 8.67% to reach 778.19 MT from 716.08 MT in 2020-21. Further, the following measures have been taken by the Government to enhance the production of coal in the country:

i.  Identification and development of new Coal blocks, including through captive and commercial route.

ii. Enactment of Mines and Minerals (Development and Regulation) Amendment  Act,  2021  for  enabling  captive  mine  owners  (other  than  atomic minerals) to sell up to 50% of their annual mineral (including coal) production in the open market after meeting the requirement of the end use plant linked with the mine in such manner as may be prescribed by the Central Government on payment of such additional amount.

iii Single Window Clearance portal for the coal sector to speed up the operationalization of coal mines.

iv. Project Monitoring Unit for handholding of coal block allottees for obtaining various approvals/clearances for early operationalization of coal mines.

v. Commercial auction of coal blocks on revenue sharing basis. Under commercial mining scheme, rebate of 50 % on final offer would be allowed for the quantity of coal produced earlier than scheduled date of production. Also, incentives on coal gasification or liquefaction (rebate of 50 % on final offer) have been granted.

vi.  Coal  India  Limited  is  adopting  Mass  Production  Technologies  (MPT)  in  its Underground (UG) mines, mainly Continuous Miners (CMs), wherever feasible. Coal India Limited has also envisaged working large numbers of Highwalls (HW) mines in view of the availability of Abandoned/Discontinued mines. Coal India Limited is also planning large capacity UG mines wherever feasible.

vii.  In  Opencast  (OC)  mines,  Coal  India  Limited  has  adopted  State-of-the-Art technology through high capacity Excavators, Dumpers and Surface Miners.

viii. SCCL is expediting the activities to ground new 8 mines.

(d)&(e): Being an affordable source of energy with substantial reserve, coal is going to stay as major source of energy in the foreseeable future. Despite push for renewables, country will require base load capacity of coal-based generation for stability and also for energy security. India has committed to clean energy; the pace of transition to cleaner energy sources in India is to be viewed in the light  of  national  circumstances,  and  principle  of  common  but  differentiated responsibilities and respective capabilities, the transfer of climate finance and low cost climate technologies.

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