Lok Sabha Question No. 390 (UNSTARRED), answered on 2024-07-24
Subject: First Mile Connectivity (FMC) Projects by Coal India Limited
Ministry: COAL
Asked by: Shri Vijay Kumar Dubey, Dr. Hemant Vishnu Savara, Shri Dharambir Singh, Shri Bhartruhari Mahtab, Shri Dilip Saikia, Dr. Alok Kumar Suman, Smt. Aparajita Sarangi, Shri Shankar Lalwani, Dr. Sanjay Jaiswal

## GOVERNMENT OF INDIA MINISTRY OF COAL

## LOK SABHA UNSTARRED QUESTION NO. 390 TO BE ANSWERED ON 24.07.2024

First Mile Connectivity (FMC) Projects by Coal India Limited

## 390 SHRI VIJAY KUMAR DUBEY:

DR. HEMANT VISHNU SAVARA:

SHRI DHARAMBIR SINGH:

SHRI BHARTRUHARI MAHTAB:

SHRI DILIP SAIKIA:

DR. ALOK KUMAR SUMAN:

SMT. APARAJITA SARANGI:

SHRI SHANKAR LALWANI:

DR. SANJAY JAISWAL:

Will the Minister of COAL be pleased to state:

- (a) the details of the First Mile Connectivity (FMC) project proposed by Coal India Limited (CIL) along with the number of such projects on which work is going on at present;
- (b) the total amount of funds allocated for the purpose under this scheme;
- (c) whether the North-East regions of the country are also being included thereunder; and
- (d) the details of the other schemes of the Government to improve the coal evacuation/mining, infrastructure, project development, exploration and clean coal technologies?

## ANSWER

## MINISTER OF COAL AND MINES (SHRI G. KISHAN REDDY)

(a): Before August, 2019, Coal India Limited (CIL) had established 20 First Mile Connectivity (FMC) projects of 151 MTY capacity. Since, August, 2019, CIL has identified additional 72 First Mile Connectivity (FMC) projects of 837.5 MTY Capacity. Out of these 72 projects, 15 projects of 200.5 MTY have been commissioned and work is going on in 26 projects. Thus, as on date, total 35 FMC projects have been commissioned and are functional.

- (b):   The total estimated cost of 72 FMC projects identified by CIL is about Rs. 27,750 Crores. This expenditure will be met by CIL from its own resources.
- (c):   FMC projects are viable for large size mines.  Since there are small size mines in North Eastern Region, therefore at present, there is no FMC Project of CIL in North Eastern Region of the Country.
- (d):  Ministry of Coal administers three Central Sector Schemes namely (i) Exploration of Coal and Lignite, (ii) Research & Development and (iii) Conservation, Safety and Infrastructural Development in Coal Mines. Details of these schemes are as under: -

|   Sl. No. | Name of Scheme                                                     | Purpose of scheme                                                                                                                                                                                    |   Budget allocation in FY 2024-25 (Rs. In crore) |
|-----------|--------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------|
|         1 | Exploration of Coal and Lignite                                    | To delineate, estimate and evaluate coal/lignite resources of India by preparation of geological reports (GRs). These reports are utilised for the new coal blocks to be put for auction/allocation. |                                            730   |
|         2 | Research & Development                                             | To plan, program, budget the new & ongoing research projects and oversee the implementations of research projects.                                                                                   |                                             21   |
|         3 | Conservation, Safety and Infrastructural Development in Coal Mines | To ensure conservation of coal and safety in coal mines by way of sand stowing, protective works and development of transport infrastructure.                                                        |                                             92.5 |

In addition to above, Government has launched a Scheme with financial outlay of ₹8500 crore to provide viability gap funding (VGF) to promote Coal/Lignite Gasification Projects for both PSUs  and  the  private  sector.  The  approved  scheme  covers  projects  under  following  three categories -

- Category I, with  a  provision  of  ₹4050  crores,  is  for  Government  PSUs.  They  can submit  proposals  for  funding  assistance,  and  three  selected  projects  will  receive  a maximum grant of ₹1350 crores or 15% of project cost, whichever is lower as VGF.
- Category II ,  with  ₹3850 crores, is  available to  both private sector and  government PSUs with a maximum grant of Rs. 1000 cr or 15% of project cost, whichever is lower as VGF.
- Category  III, with  ₹600  crores  for  demonstration  or  small-scale  projects  with maximum outlay per project of Rs. 100 cr or 15% of project cost, whichever is lower as VGF.

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