Lok Sabha Question No. 2817 (UNSTARRED), answered on 2023-12-20
Subject: First Mile Connectivity (FMC) Projects
Ministry: COAL
Asked by: Jaskaur Meena

## GOVERNMENT OF INDIA MINISTRY OF COAL

## LOK SABHA UNSTARRED QUESTION NO. † 2817 TO BE ANSWERED ON 20.12.2023

## First Mile Connectivity (FMC) Projects

†2817. SHRIMATI JASKAUR MEENA:

Will the Minister of COAL be pleased to state:

(a) the salient features of the First Mile Connectivity (FMC) projects;

(b) the details of the funds sanctioned, allocated and utilised under the said project in Rajasthan;

(c) whether the Government has fixed any target for coal production to expand energy cover of India to materialise the concept of Atmanirbhar Bharat;

- (d) if so, the details thereof; and

(e) the details of the steps being taken by the Government in this regard?

## ANSWER

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

(a):  First  Mile  Projects  facilitate  seamless  movement  of  coal  from  the  mine  to  the despatch  point  along  with  computerized  loading  into  railway  rakes  with  minimum manual intervention, obliterate traffic congestion and road accidents, and thus mitigate the adverse impact on environment and health around the coal mining projects.

(b):    There is no FMC Project implemented /being implemented in Rajasthan.

(c) & (d):   The all India target of Production of coal for 2023-24 has been fixed 1012.14 Million Tonnes.

(e):   The  following  steps  have  been  taken  by  the  Government  to  enhance  the production to fulfill the domestic coal demand:

- i. Opening of new coal mine projects and expansion of existing projects
- ii. Regular reviews by Ministry of Coal to expedite the development of coal blocks.
- iii. Enactment of Mines and Minerals (Development and Regulation) Amendment Act, 2021 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.

- iv. Single  Window Clearance portal for the coal sector to speed up the operationalization of coal mines.
- v. Project Monitoring Unit for hand-holding of coal block allottees for obtaining various approvals / clearances for early operationalization of coal mines.
- vi. Auction of coal blocks for commercial mining on revenue sharing mechanism was launched on 18.06.2020. 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.
- vii. 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 are granted (rebate of 50 % on final offer) to commence early production.

In addition to above, coal companies have also taken following steps to increase the domestic coal production:

- i. Coal India Limited (CIL) has identified and initiated actions for fulfilling all the resources  required  like  Environment  Clearance  /  Forest  Clearance,  land acquisition,  evacuation  infrastructures  such  as  mechanised  loading  through Coal Handling Plant (CHP) / SILO, Rail Projects etc. for enabling projects to contribute to its target as per 1 BT production plan.
- ii. Singareni Collieries Company Limited (SCCL) has planned to produce 70 MT by 2023-24 from the present level of 67 MT. Regular liaison is being undertaken for grounding of new projects and operation of existing projects. SCCL has initiated action  for  developing  infrastructure  for  evacuation  of  coal  like  CHPs,  Crushers, Mobile Crushers, Pre-weigh-bins etc.

****