Lok Sabha Question No. 490 (STARRED), answered on 2022-04-06
Subject: Coal Production
Ministry: COAL
Asked by: Dinesh Chandra Yadav, Rajiv Ranjan (Lalan) Singh

## GOVERNMENT OF INDIA

## MINISTRY OF COAL LOK SABHA

STARRED QUESTION No.490

TO BE ANSWERED ON 06/04/2022

## Coal Production

*490.  SHRI DINESH CHANDRA YADAV: SHRI RAJIV RANJAN SINGH ALIAS LALAN SINGH:

Will the Minister of COAL be pleased to state:

- (a) whether the demand for coal has increased to meet the energy requirements of the country:
- (b) if so, the reasons for not increasing the domestic coal production so as to reduce the dependence on imported coal and save foreign currency;
- (c)  whether  it  is  proposed  to  reduce  the  use  of  coal  globally  to  save  the environment; and
- (d)  if  so,  the  details  thereof  along  with  the  reasons  for  the  increase  in  use  of coal in the country?

## Answer

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

(a)to(d): A statement is laid on the Table of the House.

STATEMENT  IN  REPLY  TO  PART  (A)  TO  (D)  OF  LOK  SABHA  STARRED QUESTION  NO.  490  FOR  ANSWER  ON  06/04/2022  BY  SHRI  DINESH CHANDRA YADAV AND SHRI RAJIV RANJAN SINGH ALIAS LALAN SINGH, M.P. REGARDING COAL PRODUCTION.

(a)&(b): The details of all India demand, domestic supply of coal and import of coal during last five years and the current year is given below:-

| Year                                                  | 2016-17                                               | 2017-18                                               | 2018-19                                               | 2019-20                    | 2020-21                    | 2021-22                    |
|-------------------------------------------------------|-------------------------------------------------------|-------------------------------------------------------|-------------------------------------------------------|----------------------------|----------------------------|----------------------------|
| Actual Demand (MT)                                    | 836.93                                                | 898.25                                                | 968.14                                                | 955.72                     | 906.13                     | 914.48*                    |
| Domestic Supply (MT)                                  | 645.98                                                | 690.00                                                | 732.79                                                | 707.18                     | 690.88                     | 741.16                     |
| Import (MT)                                           | 190.95                                                | 208.25                                                | 235.35                                                | 248.54                     | 215.25                     | 173.32@                    |
| MT - Million Tonne *Actual demand upto February, 2022 | MT - Million Tonne *Actual demand upto February, 2022 | MT - Million Tonne *Actual demand upto February, 2022 | MT - Million Tonne *Actual demand upto February, 2022 | @ Import upto January 2022 | @ Import upto January 2022 | @ Import upto January 2022 |

Due to  increased  availability  of  coal  on  account  of  policy  measures  taken  to increase domestic coal production, total coal import declined from 248.54 MT in  2019-20 to 215.25 MT in 2020-21. During April 2021-January 2022, coal import has further decreased to the level of 173.32 MT as compared to 180.56 MT during the corresponding period of previous year.

Coal import by Power sector declined from 69.22 MT in 2019-20 to 45.47 MT in 2020-21.  Further,  during  April  2021-January  2022,  coal  import  by  Power Sector has decreased to the level of 22.73 MT as compared to 39.01 MT during the corresponding period of previous year.

The share of coal supply by CIL, which was around 60.8% of total consumption of  coal  in  2019-20,  increased  to  63.3%  in  2020-21  and  further  to  64.3%  in 2021-22 (April- January 2022).

In  2021-22  (upto  28 th   Feb.2022),  Coal  India  Limited  (CIL)  has  dispatched 487.88  MT  to  power  sector,  with  a  22.6%  growth  over  last  year.  Similarly, SCCL and captive coal blocks have dispatched 48.91 MT and 74.65 MT coal to power  sector  (upto  28 th   Feb.2022)  which  is  36%  and  40.8%  more  than  the same period of last year.

(c)&(d: 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. As  the  price  of  renewable  power declines and that of coal based power rises, there is a shift towards the former, also  supported  by  emission  concerns.  Overarching  decisions  titled  'Glasgow Climate  Pact' reflect  the  following  agreement  between  parties  with  regard  to coal and fossil fuel subsidies:

' Calls upon Parties to accelerate the development, deployment and dissemination of technologies, and the adoption of policies, to transition

towards  low  emission  energy  systems,  including  by  rapidly  scaling  up  the deployment of clean power generation and energy efficiency measures, including accelerating efforts towards the phasedown of unabated coal power and  phase-out  of  inefficient  fossil  fuel  subsidies,  while  providing  targeted support to the poorest and most vulnerable in line with National circumstances and recognizing the need for support towards a just transition'.

It  is  evident  that  above  paragraph is  only  'calling  upon'  Parties  to  accelerate efforts  towards  the  phase  down  of unabated  coal  power  in  line  with  national circumstances and recognizing the need for support towards a just transition.   Paris  Agreement  is  a  multilateral  treaty  for  combating  climate change.

Accordingly, while 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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