PIB Coal Sector 2023
PIB Coal Sector 2023
The above words of the Prime Minister aptly sums up the strategic importance of
India’s Coal Sector. Relentless efforts by the Coal Ministry to ensure energy security of
the nation by record increase in coal production and supply to the thermal power
plants provided a special place to India’s coal sector among the core industries of the
country during the year 2023. In October 2023, among eight core industries, India’s
coal sector achieved a remarkable 18.4% growth, as per Core Industries Performance
Index released by the Ministry of Commerce & Industries.
The Ministry of Coal has played a pivotal role in driving the above growth through
various innovative reforms. These initiatives include augmenting domestic coal
production, stepping up commercial coal mine auction, engaging Mine Developer
cum Operators (MDOs) to ramp up domestic output and reopening of discontinued
mines on a revenue-sharing model to boost production.
On 21st December, Union Minister of Coal, Mines & Parliamentary Affairs Shri
Pralhad Joshi launched the 9th round of commercial auction. A total of 31 coal mines,
including 26 under the 9th round and 5 under the 2nd attempt of the 7th round, were
offered in the 9th round. These mines are spread across coal/lignite-bearing states of
Jharkhand, Chhattisgarh, Madhya Pradesh and Telangana.
Domestic coal production is very likely to cross One Billion tonne in 2023-2024. As per
the latest statistics, coal production touched 664.37 million tonne during FY 2023-24
up to 25th December. With 8.39% growth, coal dispatch to power sector during this
period also touched 577.11 million tonne. Hence, the present growth of India’s coal
sector aligns well with the vision of "Atmanirbhar Bharat" and contributes
considerably to the nation's progress towards self-sufficiency and energy security.
Consistent efforts by the Ministry of Coal in tandem with other ministries also
ensured enhanced rake availability for seamless transportation of coal during 2023.
During the year, the Ministry has ensured adequate availability of quality coal to
Thermal Power Plants and other crucial sectors of the economy, giving further fillip
to the success saga of India’s economic growth.
The noteworthy achievements of the Ministry during 2023 is also marked by a
number of reforms/policy measures centred around further enhancing overall coal
production and supply, special focus on environment -friendly Underground Coal
production, curtail import to the very minimum, coal gasification projects, successful
commercial coal mine auction and sustainable mining practices.
Further details of the reforms and policy measures put in place by the Ministry of
Coal during 2023 in line with ensuring energy security and sustainable mining
practices can be summed up as follows:-
1. REFORMS & POLICY
During Calendar Year 2023 ( upto November, 2023) under the NRS e-auction
24.23 MT was booked against the total offered quantity of 30.37 MT.
B. Scheme
for Harnessing and Allocating Koyala (Coal) Transparently in India
(SHAKTI) Policy:
Five tranches of Linkage Auction have been conducted by Coal India Limited
from January to November 2023. Out of total offered quantity of 35.53 MT of
coal, 27.99 MT of coal have been booked by successful bidders.
Coal linkages granted to 11 central/state Gencos under for a capacity of 13420
MW from January to November 2023.
Fourth round of linkage auction conducted by CIL during the period of January
to November 2023. Out of total offered quantity of 8.10 MT of coal, 4.30 MT of
coal was booked by successful bidders.
The land acquired u/s 9(1) and vested u/s 11 of the Coal Bearing Areas
(Acquisition and Development) Act, 1957 for subsidiaries of Coal India Limited
“During the period from 01.01.2023 to 20.12.2023, a total of 9695.7215 acres of land
have been acquired under section 9 (1) of the Coal Bearing Areas (Acquisition and
Development) Act, 1957 for subsidiaries of Coal India Limited. A total of 4052.041 acres
of land have been vested to subsidiaries of CIL under section 11(1) of the CBA (A&D) Act,
1957”.
ii) Details of land acquired by various subsidiaries of Coal India Limited under
various Acts (i.e., CBA Act, RFCTLARR, Act (erstwhile LA Act, 1894) and through
agreement, etc., which is uploaded on PM Gatishakti Portal total land as on
05.12.2023, are given below:-
Coal Mines (Special Provision) Rules, 2014 have been amended and notified on
29.05.2023 incorporating additional provision for accepting the bid security in
the form of online deposit.
Coal Blocks Allocation Rules, 2017 was amended through the Coal Blocks
Allocation (Amendment) Rules, 2023 notified on 29.05.2023 which allows
additional provision for accepting the bid security in the form of online deposit.
1.5. Guidelines on “Safety and Health Management Audit in Coal and Lignite
Mines”
The focus of the safety health management system audit is a system driven, instead
of individual-driven and based on the principles of risk management in place of
compliance-oriented, that is, identification of hazards and assessment of risk and
implementation of control to ensure risk at an acceptable level and as low as
reasonably achievable (ALARA).
One of the reasons for the ineffective implementation of the present system of risk-
based safety management in Indian coal mines is the lack of suitable mechanisms or
processes for auditing the SMPs at regular intervals. In view of the above, Ministry
of Coal issued guidelines for regular auditing to be adopted by the mine
management on 14th December 2023 for effective implementation of the Safety and
Health Management system. The auditing shall be done by qualified auditors who
are experienced in SHMS having domain knowledge and experience.
1.6 Amendment in timeline in CIMS Portal
CMPFO after a long time. So far, out of three phases of digitization, the Phase-I
i.e. subscribers portal has been completed and employees are viewing their
personal and ledger card details. Integration with the coal companies and
online settlement process of claims for payment of PF and pension is covered
under Phase-II which is likely to completed by December 2023. Phase-III will
cover analytics and report generation process which is likely to be completed by
April, 2024.
iii. e-office in CMPFO - e-office in CMPFO has been made operational in CMPFO
2. COAL PRODUCTION/SUPPLY
i. The country has witnessed the highest ever coal production in the Year 2022-23.
The all-India coal production in the year 2022-23 was 893.19 Million Tonne
(MT) (Provisional) in comparison to 778.21 MT in the year 2021-22 with a
growth of about 14.77%.
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ii. During Calendar Year 2023 (upto 20 December, 2023), the country has
produced about 932.92 MT(Provisional) of coal as compared to about 864.25
MT(Provisional) coal during the same period of last year with a growth of about
7.95%.
At present, domestic raw coking coal washing capacity is about 23 MT per annum
including 9.26 MT of the private sector. Coal India Ltd. (CIL) is planning to set up
and operationalize 9 more new washeries with a capacity of 26.5 MTPA. With setting
up of new washeries, it is estimated that CIL will be able to supply about 15 MT of
washed coking coal to the steel sector, thereby reducing import of coking coal.
During FY 23, CIL supplied 2.15 MT washed coking coal to the steel sector and has
set a target of 3.45 MT during FY24. Status of 11 Coking Coal Washeries-
3. INFRASTRUCTURE PROJECTS
Ministry of Coal takes up 103 First Mile connectivity Projects having capacity 1040
MT for seamless evacuation of coal- 31 Projects (29-CIL & 2-SCCL) of 291MTPA
capacity have been commissioned.
MOC has undertaken 103 first mile connectivity (FMC) projects (95 – CIL, 5- SCCL & 3
– NLCIL) of 1040 MTPA capacity, out of which 31Projects (29-CIL & 2-SCCL) of 291
MTPA capacity have been commissioned. Remaining projects are to be
implemented by FY2027-28
MoC has identified more than 100 layers and mapped on portal along with
attributes and metadata. These data layers are being continuously monitored
depending on the requirements and further layers along with their attributes may
be added as and when required MoC and CMPDI is in constant touch with BISAG-N
for taking immediate action on uploading of data layers
This layers will Speed ups the process of Planning by consideration of all
requirements related to Ministries during the planning and execution stage in
projects.
a) More than 100 data layers mapped along with attributes and Metadata.
b) 51 layers are under construction
iii. Tori-Shivpur-Kathautia
Railway Line:This new rail line of 49km, shall provide
coal evacuation capacity of about 125 MT by rail and play major role in
eliminating coal transportation by road via Koderma, Jharkhand to the trunk
railway line from Howrah to Delhi.
iv. CERL ( Kharsia-Dharamjaygarh Rail Link) Phase-I:
Prime Minister Narendra Modi on 14th September 2023 dedicated to the nation South
Eastern Coalfields Limited's (SECL) East Rail Corridor Phase-1, built at a cost of
approximately ₹ 3,055 crore, at Raigarh, Chhattisgarh.
This 124 km track length line between Kharsia and Dharamjaygarh will help in
transporting coal and other raw materials to various end-use projects including
power generation projects from coal mines of SECL and other coal mines of Mand-
Raigad Coalfield spread in Raigarh district, added the statement from PRO.
The annual capacity of the project is 62 million tonnes per year. In future, with the
development of passenger transport facilities, people of this tribal-domina.
The Ministry of Coal has taken an initiative to promote Rail-Sea-Rail which aims to
integrate Rail-Sea-Rail (RSR) transportation for the efficient movement of domestic
coal. This multimodal transportation system allows for the seamless transportation of
coal from mines to ports and then to end-users, reducing transportation costs and
improving logistic efficiency.
In the financial year FY’23, the major coal-producing states such as Odisha,
Chhattisgarh, Jharkhand, along with parts of Madhya Pradesh, accounted for
approximately 75% of the total domestic raw coal despatch. Recognizing the need to
increased coal production, the Ministry of Coal has projected nearly doubling of coal
production in India with a CAGR of ~7.7% by FY’ 30.
The coastal shipping mode of transportation, which is an economical and eco-
friendly system for moving goods, has the potential to revolutionize India's logistics
industry. The ongoing efforts to augment coal evacuation such as RS/RSR, strives to
achieve full capacity utilization of the ports along the Southern and Western coasts.
This will enable efficient transportation of more coal to power houses in Gujarat,
Maharashtra, Karnataka, Goa, Tamil Nadu, Kerala, and Andhra Pradesh. Initiatives
are underway to optimise the costs of delivering coal through RSR. Opting for Rail-
Sea-Rail could potentially save around Rs. 760-1300 per ton in logistics costs for end
users located in Southern India. Presently, for supply of Coal from MCL (Paradip) to
Western/Northern TPPs the total cost increases by around Rs 2500/ton over ARR but
still it is cheaper than the total landed cost of imported coal.
The Ministry of Coal's efforts to promote Rail-Sea-Rail are yielding significant results
as Rail-Sea-Rail transportation of coal has significant growth of around 125% over the
past four years. With coal production in India expected to nearly double in the next
seven years, the Rail Sea Rail as an alternative mode of transportation, becomes
crucial for efficient Coal evacuation to consumption centres in India, ensuring a
seamless and uninterrupted power supply.
Under the provisions of Mines and Minerals (Development and Regulation) Act,
1957 and the Rules made thereunder, 34 coal blocks have been successfully
auctioned.
offering 39 coal mines on Nov 15 2023 and 9th round offering 31 coal mines on
Dec 2023
iii. In Calendar Year 2023 Vesting Orders have been issued for 36 coal mines and
5. ASSET MONETIZATION
In the year 2022-2023 against the NITI Aayog Target of ₹30000 crore Ministry of Coal
achieved ₹ 57179.99 crore.
Status of Asset Monetization in FY 2023-24 till November 2023 against NITI Aayog
Target of ₹ 50118 crore is as follows:
2 MDO 4018.03
Total 48683.88
Ministry of Coal achieved Capex Target for the FY 2022-23 of Rs. 23400.22 Cr which is
109.24% of the annual capex target. Detail of Capex Achieved in FY 2022-23 and in FY
2023-24 till November 2023 is given below:
in ₹ crore
FY 2022-23
FY 2023-24
CSR Expenditure
As part of CSR, SCCL spend Rs.13.44 Cr. on CSR activities in 2023 for development of
nearby villages, towns, environment measures etc. Compare to Rs. 11.39 crs during
the same period last year.
CIL spent Rs. 517.93 cr. on a consolidated basis during FY 22-23 which was 17% more
than the statutory requirement. For the ongoing financial year i.e. FY 23-24, the
statutory target is Rs. 428.20 cr. 62% of which i.e. Rs. 264.37 cr. have been utilized
upto 18.12.2023. On a consolidated basis, CIL has been one of the top ten corporate
spenders in the country.
Skill Development
During FY 22-23, CIL on a consolidated basis covered 11,816 persons under its
skilling/livelihood activities. For FY 23-24, the skilling/livelihood enhancement
coverage target has been set at 8,000 persons.
Major events/happenings
5910 appointment letters for various posts (CIL-5091 & NLCIL- 819) were
issued under Mission Mode Recruitment upto November 2023.
areas.
water has been supplied for community purposes of which 1,193 LKL has
been supplied for drinking purpose and 2,320 LKL has been supplied for
irrigation purposes.
c. Between FY 2018-19 and FY 2023-24 (as on November, 2023), Coal/Lignite
PSUs have supplied a cumulative volume of around 18,582 Lakh Kilo Liters
(LKL) of treated mine water for community purposes, benefiting annually
approximately 17.70 lakh people in 981 villages across 9 states, showcasing
the vital role of mine water in promoting community welfare and
sustainable development.
8. OTHER ACTIVITIES
8.1. Azadi ka Amrit Mahotsav
"Meri Maati Mera Desh", with the tagline `Mitti ko naman, veeron ka vandan`, is a
nationwide and people led “Jan bhagidari” initiative to commemorate 75 years of
India's independence. "Meri Maati Mera Desh” is the finale of Azaadi ka Amrit
Mahotsav program to celebrate many achievements of the nation. It involves paying
tribute to the 'Veers' who protect our nation. At Ministry of Coal, ceremonies were
conducted at the level of village, Panchayat, Block, Urban Local body, State and
National level with a motive to affirm our bond to the nourishing earth and honor
our braves with the following simple actions:
Mitti from the villages of India was collected at block level and then finally brought
to the Capital along with volunteers from each block that would assemble at
Kartavya Path. An Amrit Vatika would be planted in the Capital and the Prime
Minister would administer the Panch Pran pledge to volunteers. As per the schedule
prescribed, the level 1 (Village level) was completed during the period 1st
September to 30th September 2023. During the said period, following
activities/programmes were done by all Coal PSU in respective subsidiaries spread
across the country.
Collection of soil or rice in Amrit Kalash from houses in every village in a festive
environment.
During the collection of soil and rice in Amrit Kalash the group was
accompanied by the people playing Dholaks, Nagadas.
Panch Pran pledge was taken at time of soil and rice collection.
A total of 956 Kalash were collected from 21 districts by organizing Amrit Kalash
yatras. Around 1 Lakh people participated in the yatras organized by the Coal
Companies of Ministry of Coal at various urban blocks and villages.
8.2. Special Campaign for disposal of pendencies 3.0
In line with Government of India’s vision for enhancing operational efficiency, the
Ministry of Coal conducted Special Campaign 3.0 from 2nd October 2023 to 31st
October 2023 with resounding success. This focused initiative aimed at
institutionalizing cleanliness and streamlining processes to mitigate pending
matters. The Ministry achieved noteworthy success of effectively addressing public
grievances leading to more public interface, references from Members of
Parliament, and Parliament Assurances. A comprehensive Cleanliness drive,
coupled with the meticulous disposal of scrap and the systematic weeding out of
files, constituted the multifaceted approach.
The Ministry of Coal has completed the Special Campaign 3.0 with remarkable
success. The achievements of the Ministry during the Special Campaign 3.0 are as
under:
The space freed up from scrap & waste disposal is being used for various
purposes like plantations, horticultural activities, beautification, wider
passages, parking space, office sitting arrangements, storage etc.
1. An unused room has been modified to office cabins for three officers in
SECL
A room with computers and a
windowDescription automatically
generated
Before After
Before After
1. Plastic to Paver
Eastern Coalfields Limited collected single use plastic. After segregation of the
plastic, it was processed into Paver Blocks/tiles at Bankola area.
Before After
2. Scrap to Sculpture
SECL’s Jamuna Kotma Area has undertaken the initiative of “Scrap to Sculpture”
under Special Campaign 3.0 activities. The main objective of this project was to
convert scrap materials of coal mines into various creative sculptures.
The colliery has established a public park to house and display these sculptures
made from scrap at Bankim Vihar, Jamuna Kotma Area in Anuppur district of
Madhya Pradesh. Among the scrap-made sculptures installed prominent ones are of
a coal mine worker, a lion, a crane bird and a flower.
Before After
To appreciate the commendable efforts put forth by the Ministry & the coal
companies for the success of Special Campaign 3.0 an award ceremony was
organized in the presence of Minister of Coal, Mines and parliamentary affairs Shri
Prahlad Joshi. The awards were given to winners in the below categories.
The Star Ratings are awarded on a scale from Five Star to No Star, evaluating each
mine’s achievements holistically. In the last four years (2018-19, 2019-20, 2020-21,
2021-22), a total of 68 mines have qualified for 5 star rating, scoring more than 91%.
Among them, 39 mines have ranked 1st 2nd & 3rd prize.
1. Ministry of Coal has striven hard and taken lead towards standardization and
improvement in IT working environment and service delivery through various
portals and implementation of e-Governance Projects like Single Window
Clearance System, Coal Import Monitoring System (CIMS), Coal Projects
Monitoring Portal, Star Rating of Coal Mines etc.
2. Keeping the priority accorded to Cyber Security, necessary steps are being taken
by Ministry of Coal and PSUs under the Ministry of Coal on regular basis, to
ensure and enhance Cyber Security like Nomination of Chief Information
Security Officer (CISO), Preparation of Cyber Crisis Management Plan (CCMP),
compliance of security guidelines etc.
3. During the month of October'23, which has been observed as National Cyber
to connect people. Through, the regular press releases, the Ministry has
effectively communicated key initiatives, policies, and achievements. Ministry
of Coal has active presence on various social media platforms, including
X(Twitter), Facebook, Koo, Instagram, thread and LinkedIn showcased real-time
updates, fostering engagement and transparency. Additionally, Ministry has
contributed to informed public discourse through articles in prominent
newspapers and magazines, providing in-depth insights into the coal sector’s
development along with sustainability. This media strategy underscores the
ministry's commitment to effective communication and public awareness.
9. FUTURISTIC AGENDA
With comfortable coal availability in the country, the Government of India has
decided to promote gasification of coal in a big way. Coal gasification can yield
multiple energy, chemical and petro-chemical products, most of which are presently
being imported.
In order to set up 02 Coal based and one lignite based gasification project to
promote indigenous gasification technology, Coal India Limited has signed two
MOUs with BHEL and GAIL on 12.10.2022 to set up coal based gasification projects
at MCL Odisha to produce ammonium nitrate using high ash coal and at ECL West
Bengal to produce Synthetic Natural Gas with low ash coal. NLCIL has signed MOU
with BHEL for Methanol from Lignite in Tamil Nadu under the aegis of Ministry of
Coal.
CIL, SCCL and NLCIL have planned to diversify its business in area of solar power
generation, setting up of Coal/Lignite gasification plants, setting up of supercritical
Thermal Power Plants, critical minerals mining and Pump Storage Plants. These
companies have set target to achieve net-zero target by installing Renewable Energy
project and till date, installed total RE projects having capacity of 1655 MW.
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