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ALL INDIA INSTALLED CAPACITY

ALL INDIA INSTALLED CAPACITY

Friday, November 19, 2010

Status of coal sector reforms-I: Efforts on to improve coal availability

As recommended by the Expert Committee, the Union Ministry of Coal (MoC) has initiated various steps towards improving the availability of coal in the country. The status of implementation of the Committee's relevant recommendations has been flagged here:

  • Recommendation: Augmenting domestic coal production to bridge the gap between demand and supply with emphasis on captive coal mining.
  •  Action taken
  •  --Government has allotted a number of captive coal blocks, besides encouraging coal PSUs to take up many new coal projects, to augment coal production to bridge the gap between demand and supply. 
  • Recommendation: Promotion of underground mining.
  •  Action taken
  •  --Coal India Limited (CIL) is due to enhance the level of production from its underground mines-- from around 44 million tonnes achieved in 2006-07 to about 67 million tonnes by 2011-12 -- mainly by introduction of continuous miner technology and long-wall technology. 
  •  --For attaining this production level, CIL will make an additional investment of Rs 5,185.59 crore.
  •  --Moreover, CIL has also identified seven blocks for developing them as mega mines, having a production capacity more than 2 MTPA each, with state of the art consultancy and technology with foreign expertise.
  • Recommendation: Planned imports of coal need to be encouraged. 
  •  Action taken
  •  --Imports are planned by Power Sector every year in advance keeping in view the requirement. Further, CIL is also contemplating to import coal.
  • Recommendation; Promotion of cutting edge technologies like Underground Coal Gasification (UCG), Coal Bed Methane (CBM), Coal Mine Methane (CMM), Coal to Liquid (CTL) etc.
  •  Action taken
  •  --Government has already permitted CBM operations on commercial lines and 26 blocks have been allotted to various entrepreneurs.
  •  --For CMM, coal companies are taking action to extract methane gas from the existing mines and a demonstration project in association with United Nations Development Programme (UNDP) / Global Environmental Fund (GEF) is under implementation in one of the mines of Bharat Coking Coal Limited (BCCL). 
  •  --Besides, the Government has recently recognized UCG, CTL as one of the permitted end uses under the captive mining policy.

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