core sector communique

Measures to Increased Coal Production

The Government has taken following measures to increase the domestic coal production :- (i)                 Coal India Limited has been asked to increase production from existing mines and expedite production from new projects. (ii)               A number of coal blocks have been allotted to different consumers/State/Central government undertakings to increase  the availability of coal in the country. (iii)             exploration for new Coal blocks is being expedited. (iv)             procedure for project approvals has been streamlined. (v)       modernization of existing mines. (vi)      improvement in equipment utilisation. (vii)     Increasing productivity in underground and opencast mines (viii)   exploration capacity of Central Mine Planning & Development Institute (CMPDIL) is being increased This was informed by Shri  Pratik Prakashbapu Patil, Minister of State  in the Ministry of Coal  while replying a written question in Rajya Sabha today.  The Minister further stated that the import of coal by the power utilities was 23.20 million tonnes, 30.20 million tonnes and 45.20 million tonnes during 2009-10, 2010-11 and 2011-12 respectively.  The major constraints that are adversely affecting coal production in the country are issues relating to land acquisition, related rehabilitation and resettlement (R&R) issues and delay in forestry and environment clearance  affecting timely implementation of projects.  The price of imported coal depends upon the specification of coal and varies on a weekly basis. Central Electricity Authority (CEA) has reported that with 10% blending of imported coal with domestic coal, the increase in cost of electricity generation is of the order of about 3 paisa per unit for every 10 Dollar/tonne increase in the cost of imported coal, the Minister added.