Lok Sabha Question No. 241 (UNSTARRED), answered on 2024-11-27
Subject: Sustainable Production of Coal
Ministry: COAL
Asked by: Shri Chavda Vinod Lakhamshi, Dr. Hemant Vishnu Savara, Shri Pradeep Kumar Singh, Shri Mukeshkumar Chandrakaant Dalal, Shri Basavaraj Bommai, Shri Govind Makthappa Karjol, Smt. Himadri Singh, Shri Vijay Kumar Dubey, Shri Manish Jaiswal, Shri Balya Mama Suresh Gopinath Mhatre, Shri Kali Charan Singh, Shri Kripanath Mallah, Shri Jugal Kishore, Shri Mukesh Rajput, Shri Khagen Murmu, Shri Vishnu Dayal Ram, Shri Balabhadra Majhi

## GOVERNMENT OF INDIA

## MINISTRY OF COAL

## LOK SABHA UNSTARRED QUESTION NO. †241

## TO BE ANSWERED ON 27.11.2024

## Sustainable Production of Coal

## †241  Shri Chavda Vinod Lakhamshi:

Dr. Hemant Vishnu Savara:

Shri Pradeep Kumar Singh:

Shri Mukeshkumar Chandrakaant Dalal:

Shri Basavaraj Bommai:

Shri Govind Makthappa Karjol:

Smt. Himadri Singh:

Shri Vijay Kumar Dubey:

Shri Manish Jaiswal:

Shri Balya Mama Suresh Gopinath Mhatre:

Shri Kali Charan Singh:

Shri Kripanath Mallah:

Shri Jugal Kishore:

Shri Mukesh Rajput:

Shri Khagen Murmu:

Shri Vishnu Dayal Ram:

Shri Balabhadra Majhi:

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

- (a) the strategies being implemented by the Ministry to sustain the growth in production of coal;
- (b) the manner in which the Ministry proposes to balance the increased production of coal with environmental sustainability in the country including Hazaribag in Jharkhand; and
- (c) the role likely to be played in this regard by the recent reforms such as operationalization of closed mines on revenue sharing model?

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

(a): The steps taken by the Ministry of Coal to sustain the growth in production of coal are as under:

- i. Regular reviews by Ministry of Coal to expedite the development of coal blocks.
- ii. Enactment of Mines and Minerals (Development and Regulation) Amendment Act, 2021 [MMDR Act] for enabling captive mines 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 hand-holding of coal block allottees for obtaining various approvals / clearances for early operationalization of coal mines.
- v. Auction  of  commercial  mining  on  revenue  sharing  basis  launched  in  2020.  Under commercial mining scheme, rebate of 50 % on final offer has been 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. Terms and conditions of commercial coal mining are very liberal with no restriction on utilization  of  coal,  allowing  new  companies  to  participate  in  the  bidding  process, reduced  upfront  amount,  adjustment  of  upfront  amount  against  monthly  payment, liberal efficiency parameters to encourage flexibility to operationalize the coal mines, transparent bidding process, 100% Foreign Direct Investment (FDI) through automatic route and revenue sharing model based on the National Coal Index.

In addition to above, coal companies have also taken the following steps to sustain the growth in the production of coal:

- i. Coal India Limited (CIL) has adopted number of measures to increase coal production. In its Underground (UG) mines, CIL is adopting Mass Production Technologies (MPT), mainly  with  Continuous  Miners  (CMs),  wherever  feasible.  CIL  has  also  planned Highwalls (HW) mines in view of the availability of Abandoned/ Discontinued mine. CIL is also planning large capacity UG mines wherever feasible. In its Opencast (OC) mines, CIL already has State-of-the-Art technology in its high-capacity  Excavators, Dumpers and Surface Miners.
- ii. Regular liaison is being undertaken by Singareni Collieries Company Limited (SCCL) for grounding of new projects and operation of existing projects. SCCL has initiated action for developing infrastructure for evacuation of coal like Coal Handling Plants (CHPs), Crushers, Mobile Crushers, Pre-weigh-bins etc.

(b): To  promote  environmental  sustainability  in  Coal/Lignite  mines  in  the  country  various sustainable  &  environment  friendly  initiatives  have  been  taken  such  as  plantation/  bioreclamation, mine water utilization for community use, development of eco-parks and adoption of energy efficiency measures.

Further,  the  Coal  Block  Development  and  Production  Agreement  for  commercial  mining executed between Successful Bidder and Nominated Authority mandates that the Successful Bidder shall implement mechanised coal extraction, transport and evacuation in the coal mine, in line with modern and prevalent technologies. Accordingly, the Successful Bidder shall strive to minimise the carbon footprints from operations at the coal mine, undertake steps to reduce environmental  pollution  and  promote  sustainability,  in  accordance  with  Good  Industry Practice.

(c): Ministry of Coal has initiated steps to re-open closed/ discontinued mines recognizing their latent potential, under a Revenue Sharing Model. It aims to optimize the utilization of the nation's coal resources while ensuring that safety and profitability are maintained. This will enhance domestic coal availability and efficient utilization of existing coal resources.

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