Lok Sabha Question No. 2757 (UNSTARRED), answered on 2021-03-10
Subject: Import of Coal
Ministry: COAL
Asked by: Ajay Nishad

## GOVERNMENT OF INDIA

## MINISTRY OF COAL LOK SABHA

## UNSTARRED QUESTION NO.2757 TO BE ANSWERED ON 10.03.2021

## Import of Coal

## 2757. SHRI AJAY NISHAD:

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

- (a)  whether the Government has taken any steps to increase the domestic production and decrease the import of coal and if so, the details thereof;
- (b) the details of coal mines closed during the last three years and the coal mines  which  are  likely  to  be  closed  after  extraction  of  coal  during  the current year and the next three year; and
- (c) whether workers are given any compensations after closure of coal mines and if so, the details thereof and the criteria fixed to determine the amount of compensations?

## ANSWER

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

- (a) The focus of the Government is on increasing domestic production of coal and  to  achieve  these  targets  through  allocation  of  more  coal  blocks, pursuing  with  State  Government  for  assistance  in  land  acquisition  and coordinated efforts with Railways for movement of coal.

In order to enhance domestic production, 25% of coal production has been allowed for sale of coal for newly allocated captive coal blocks. Commercial mining,  with  a  provision  for  100%  foreign  direct  investment,  has  been allowed by the Government.

In  order  to  enhance  coal  production  and  achieve  coal  production  targets, Coal India Limited (CIL) has taken the following steps:

-  Implementing  on-going  projects  in  time  bound  manner  to  achieve targeted production as per schedule.
-  15 Greenfield Projects identified with a Capacity of about 160 MTPA (Million  Tonnes  per  Annum)  to  be  operated  by  Mine  Developer  cum Operator mode.
-  Manual loading  method  eliminated  in  all  underground  mines  of  CIL (except one mine of CCL) by introducing Side Discharge Loader (SDL)/ Load Haul Dump (LHD) loading in conjunction with belt conveyors.
-  Introduction of Surface Miners in opencast mines to improve operational efficiency and cater to environmental needs.
-  Introduction  of  Mass  Production  Technology  in  underground  coal mines.

In  order  to  enhance  coal  production,  achieve  these  targets,  Singareni Collieries Company     Limited (SCCL) has taken the following steps:

-  Planning to open 11 new mines (9 in GVCF and 2 in Talcher, Odisha).
-  Commencement  of  BDCR  -  sattupalli  railway  line  (54.1  KM)  and completion of JVR Coal Handling Plant (CHP).

An Inter - Ministerial Committee (IMC) has been constituted in the Ministry of Coal for the purpose of coal import substitution. The Representatives from Ministry of Power (MoP), Ministry of Railways, Ministry of Shipping, Ministry of  Commerce,  Ministry  of  Steel,  Ministry  of  Micro,  Small  &  Medium Enterprises (MSME), Department for Promotion of Industry & Internal Trade (DPIIT),  Central  Electricity  Authority  (CEA),  Coal  Companies and Ports are members of this IMC. This Committee provides a platform for discussions on a  larger  forum  with  the  Administrative  Ministries  so  as  to  guide  them  to encourage the coal consumers of their respective sector to eliminate imports of  coal.  Nine  meetings  of  the  IMC  have  been  held  so  far.  IMC  has  also directed for development of an Import Data System by Ministry of Coal to enable  the  Ministry  to  track  the  imports  of  coal.   Coal  India  Limited  (CIL) has also started an online portal to register the requests of coal consumers willing for import substitution of coal.

In  addition  to  it,  the  following  steps  have  also  been  taken  to  reduce coal imports:

-  The Annual Contracted Quantity (ACQ) of the Power Plants have been increased   upto  100%  of  the  normative  requirement  in  those  cases where the ACQ was earlier reduced to 90% of normative.
-  CIL  has  signed  Memorandum of Understanding (MoU) under Import Substitution for about 12 Million Tonne Per Annum (MTPA) coal with the Power plants linked with CIL. Accordingly, CIL has allocated 9.53 Million Tonne (MT) coal to the power plants till February' 2021 under Import Substitution.
-  Reserve/floor price across all e-auction schemes was kept to notified price till 2 nd  quarter (earlier by 10-30% above the notified price) with a view to maximize coal utilization by the consumers.
-  Increase in the dispatch to Non-regulated Sector (NRS) consumers in the current Financial Year (Apr-Feb'21) to 37.8 rakes/day compared to  28.4  rakes/day last year with a growth of 33%. Total dispatch to NRS  registered a growth of 12% as compared to same period of last year.
-  Facility  of  Usance  LC  (Letter  of  Credit)  payment  mechanism  in addition  to  the  existing  Irrevocable  Revolving  Letter  of  Credit  (IRLC) payment  was  introduced  to  help  the  consumer  avail  credit  facility from bank.
-  A  special  Spot  auction  scheme  was  started  for  the  coal  importers including the traders, so as to enable coal import substitution.  CIL has offered about 32.7 MT coal under this window out of which  7.53 MT coal was booked by the consumer/Importers/Traders.

(b): Details of the coal mines of CIL abandoned / closed / discontinued during the last three years is  given  in  Table  A  of  Annexure  1 and the details of the coal mines of CIL likely to be Closed/Discontinued/Production  suspended  during  the  current  year  and coming 3 years depending upon the viability / scientific study of the mines at that point of time are given in Table B of Annexure 1.

Details of coal mines of SCCL closed during the last three years mentioned in Table C of Annexure 1 and the details of the mines of SCCL which are closed/likely to be closed during current year and the next three years are given in Table D of Annexure 1

(c): No worker has been laid-off or retrenched on closure of coal mines of subsidiaries of CIL and SCCL.

## Annexure 1

Table -A

| SubsidiaryName of Mines   | SubsidiaryName of Mines                            |
|---------------------------|----------------------------------------------------|
| ECL                       | Mandman UG                                         |
|                           | Ratibati UG                                        |
|                           | Kuardih-Tirat UG                                   |
|                           | Chakballavpur / Barmondia A UG                     |
|                           | Mallickbasti OC                                    |
|                           | Moira UG                                           |
|                           | Gopinathpur OC                                     |
|                           | Chinakuri I UG                                     |
|                           | Jemehari UG                                        |
|                           | Kalipahari UG                                      |
|                           | S S Incline                                        |
|                           | Shampur A OC                                       |
|                           | Narainkuri&Egara OC patches under Mahabir Colliery |
|                           | Sodpur (R) UG                                      |
| BCCL                      | Burragarh UG                                       |
|                           | Kujama OC                                          |
|                           | Amalgamated JoyrampurColly Mixed                   |
|                           | Lohapatty UG                                       |
|                           | Ghanoodih OC                                       |
|                           | Bera OC                                            |
|                           | Damoda OC                                          |
|                           | Amalgtd. Block IV-GobindpurColly. UG               |
|                           | Amalg. GazlitandKatrasChoitudih Colliery OC        |
|                           | Amalg. East BhagatdihSimlabahal OC                 |
|                           | Dobari OC                                          |
| CCL                       | Saunda D UG                                        |
|                           | Sayal D UG                                         |
|                           | Sirka UG                                           |
|                           | Argada UG                                          |
|                           | Ray-Bachra UG                                      |
|                           | Kargali UG                                         |
|                           | Jarangdih UG                                       |
|                           | Swang UG                                           |
|                           | Kuju UG                                            |
|                           | Topa UG                                            |
| WCL                       | Bhajipani OC                                       |
|                           | Ambara UG                                          |
|                           | Pipla UG                                           |
|                           | Chanda Rayatwari UG                                |
|                           | Kumbharkhani UG                                    |
|                           | Ganpati UG                                         |
|                           | Vishnupuri - I UG                                  |

|      | AB Incline UG     |
|------|-------------------|
| SECL | Dharam UG         |
|      | Malga UG          |
|      | Somna UG          |
|      | Banki Main UG     |
|      | Dhanpuri UG       |
|      | NCPH Old UG       |
|      | West Chirimiri OC |
|      | Pinoura UG        |
|      | Mahamaya UG       |
| MCL  | Lilari OCP        |
| NEC  | Ledo OC           |

Table B

| Subsidiary   | Name of the mine            |
|--------------|-----------------------------|
| E C L        | Ningha UG                   |
| E C L        | Madusudanpur 7 Pit/ Incline |
| BCCL         | Bhowra North UG             |
| BCCL         | Bhagaband UG                |
| BCCL         | KB10/12 Pit UG              |
| BCCL         | PB Project UG               |
| BCCL         | Mudidih UG                  |
| BCCL         | Jogidih UG                  |
| BCCL         | Kharkharee UG               |
| BCCL         | Maheshpur UG                |
| CCL          | Urimari UG                  |
| CCL          | Sarubera UG                 |
| CCL          | Bhurkunda UG                |
| CCL          | Piparwar OC                 |
| NCL          | Kakari OC                   |
| WCL          | Sarani UG                   |
| WCL          | Barkui OC                   |
| WCL          | Mana UG                     |
| WCL          | Shobhapur UG                |
| WCL          | UmrerExpn OC                |
| WCL          | Junad OC                    |
| SECL         | Jamuna 9 & 10 UG            |
| SECL         | Nowrozabad West UG          |
| SECL         | Pali UG                     |
| SECL         | Bijuri UG                   |
| SECL         | Kapildhara UG               |
| MCL          | Orient 3 UG                 |

Table C

|   Sl No | Name of the Mine   |
|---------|--------------------|
|       1 | KTK 2 Incline      |
|       2 | Dorli OC II        |
|       3 | KTK OC I           |
|       4 | 21 Inc             |
|       5 | Dorli OC-1         |
|       6 | GDK-5 Inc          |
|       7 | GDK-10 Inc         |

Table D

|   Sl No | Name of the Mine   |
|---------|--------------------|
|       1 | RK-8 Incline       |
|       2 | VK-7 Incline       |
|       3 | Medipalli OC       |
|       4 | BPA OC-II Exten.   |
|       5 | GDK-7 LEP          |
|       6 | JK 5 OC            |
|       7 | GK OC              |
|       8 | SRP 1 Incline      |
|       9 | RK NT Mine         |

****