Lok Sabha Question No. 239 (STARRED), answered on 2024-12-11
Subject: Schemes to Increase Coal Production
Ministry: COAL
Asked by: Shri Babu Singh Kushwaha

## GOVERNMENT OF INDIA MINISTRY OF COAL LOK SABHA STARRED QUESTION NO. †*239 TO BE ANSWERED ON 11.12.2024

## Schemes to Increase Coal Production

†*239. Shri Babu Singh Kushwaha:

Will the Minister of COAL be pleased to state:

- (a) whether the Government proposes to formulate any special scheme to increase the coal production;
- (b) if so, the details thereof;
- (c) the additional steps being taken by the Government to meet the projected demand for coal by the years 2030 and 2047;
- (d)  the  data  with  respect  to  royalty  received  by  the  States  from  coal  mining,  employment generation, investment in infrastructure during the last five years;
- (e)  the  details  of  current  operations  and  future  projects  of  National  Coal  Development Corporation (NCDC) and Singareni Collieries Company Limited (SCCL); and
- (f) the steps taken by the Government to reduce the environmental impact of coal mining and to ensure sustainable development?

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

(a) to (f):- A Statement is laid on the table of the House.

## Statement referred to in reply to part (a) to (f) of Lok Sabha Starred Question No. †*239 for answer on 11.12.2024 asked by Shri Babu Singh Kushwaha:

(a) & (b): Ministry of coal has formulated strategy to augment domestic coal production to 1.5 BT by 2030. The domestic coal  production / projection plan in the country  till  2029-30 is as under:

|                 | Plan Target   | Annual   | Annual   | Projection Plan   | Annual   | Annual   |
|-----------------|---------------|----------|----------|-------------------|----------|----------|
| Company/Year    | 2024-25       | 2025-26  | 2026-27  | 2027-28           | 2028-29  | 2029-30  |
| CIL             | 838.00        | 915.00   | 1004.00  | 1043.00           | 1082.00  | 1131.00  |
| SCCL            | 72.00         | 75.00    | 79.00    | 80.00             | 82.00    | 82.00    |
| Captive &Others | 170.00        | 203.39   | 227.80   | 255.14            | 285.75   | 320.04   |
| Total           | 1080.00       | 1193.39  | 1310.80  | 1378.14           | 1449.75  | 1533.04  |

(c): The steps taken by the Government to increase the coal production in the country in order to meet the demand of coal for the upcoming years 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. Further, 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 the above, coal companies have also taken the following steps to increase domestic coal production:

- i. Coal  India  Limited  (CIL)  has  adopted  a  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 mines. 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 highcapacity 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.

(d): The details of royalty (in ₹ Crore) received by the States from coal mining during the last five years is as under:

| Name of the State   |   2019-20 |   2020-21 |   2021-22 |   2022-23 |   2023-24 (Provisional) |
|---------------------|-----------|-----------|-----------|-----------|-------------------------|
| Chhattisgarh        |   2350.21 |   2292.88 |   2509.75 |   3342.72 |                 3285.05 |
| Jharkhand           |   3211.03 |   2879.95 |   3616.95 |   4727.55 |                 5427.24 |
| Odisha              |   2139.45 |   1519.31 |   2704.31 |   4137.88 |                 3881.8  |
| Madhya Pradesh      |   2069.38 |   3199.42 |   2544.95 |   1890.72 |                 3296.11 |
| Maharashtra         |   1198.8  |   1153.85 |   1703.76 |   2898.58 |                 2322.02 |
| Telangana           |   1537.36 |   1429.74 |    351.5  |   4845.66 |                 2904.23 |
| West Bengal         |     18.96 |     12.64 |     16.87 |     18.16 |                   18.46 |
| Assam               |     31.34 |      5.89 |      0    |     25.39 |                   16.84 |
| Uttar Pradesh       |    406.39 |    638.23 |    475.24 |    583.87 |                  606.12 |

Details of employment generation during the last five years is as under:

| Year    |   CIL |   SCCL |   Neyveli Lignite Corporation India Limited (NLCIL) |
|---------|-------|--------|-----------------------------------------------------|
| 2019-20 |  5113 |   2333 |                                                 117 |
| 2020-21 |  4236 |   1706 |                                                  85 |
| 2021-22 |  6168 |   2799 |                                                1094 |
| 2022-23 |  6134 |   1892 |                                                 770 |
| 2023-24 |  5626 |   1245 |                                                 732 |

The details of CAPEX achievement during the last five years is as under:

| (Amount in ₹ Crore)   | (Amount in ₹ Crore)   | (Amount in ₹ Crore)   | (Amount in ₹ Crore)   | (Amount in ₹ Crore)   |
|-----------------------|-----------------------|-----------------------|-----------------------|-----------------------|
| Year                  | CIL                   | NLCIL                 | SCCL                  | Total                 |
| 2019-20               | 6269.65               | 6470                  | 2257.6                | 14997.25              |
| 2020-21               | 13283.83              | 2881                  | 1310.08               | 17474.91              |
| 2021-22               | 15400.96              | 2541.76               | 1713.7                | 19656.42              |
| 2022-23               | 18619.27              | 3307.78               | 1473.17               | 23400.22              |
| 2023-24               | 23475.41              | 4270.18               | 1704.08               | 29449.67              |

(e): There are no operations of National Coal Development Corporation (NCDC) as on today. Singareni Collieries Company Limited (SCCL) has planned to produce 72 MT for the FY 202425. Out of 72 MT, 68.30 MT of coal is planned from operating mines and 3.70 MT of coal is planned from 3 new projects to be grounded in FY 2024-25. SCCL has also planned to open 7 New Projects within its mining lease area with rated capacity of 31.30 MTPA.

(f): 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.

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