Question : Percentage of Energy Produced from Coal



(a) the projected nation-wide percentage consumption of energy produced from coal with respect of other renewable energy sources in the next five years;
(b) whether the Government is importing low-ash coal for energy production and if so, the details thereof and the reasons therefor; and
(c) the steps taken to promote coal production in the country to meet the growing energy demand?


Answer given by the minister



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

(a): According to the National Electricity Plan notified in 2018, the All India installed capacity is likely to be 479,419 MW in 2021-22 which inter alia consists of 217,302 MW of coal based capacity and 175,000 MW of RE based capacity. The installed capacity is likely to be 619,066 MW in 2026-27 which inter alia consists of238,150 MW of coal based capacity and 275,000 MW of RE based capacity.
(b):As per the current import policy, coal is kept under Open General License (OGL) and consumers are free to import coal from the source of their choice as per their contractual prices on payment of applicable duty. Coal imported by power plants designed on imported coal and high grade coal required for blending purposes are imported in the country as this cannot be fully substituted by domestic coal. However, with enhanced domestic availability of coal, coal imports by power plants have fallen from 91.3 MT in 2014-15 to 61.66 MT in 2018-19.

(c):Steps taken up for growth in coal sector which are expected to result in enhanced coal production.

1. Methodology for allowing allocatees of coal mines for specified end use or own consumption to sell upto 25% of actual production in open market (RoM basis) with payment of additional premium on such sale has been approved by CCEA on 19.02.2019 and order has been issued on 07.03.2019. Under this methodology, 10 mines have been allocated in the year 2019.
2. Mineral Laws (Amendment) Ordinance, 2020, has enabled the allocation of coal blocks for composite prospecting license-cum-mining lease (PL-cum-ML) which will help in increasing of the inventory of coal/ lignite blocks for allocation.




• With the promulgation of Mineral Laws (Amendment) Ordinance, 2020, the repetitive and redundant provision requiring previous approval of Central Government even in cases where the allocation or reservation of coal/ lignite block has been made by the Central Government itself has been done away with.This would significantly reduce the time taken for operationalisation of coal/ lignite mines.
• Earlier, the mines in Schedule II and III of Coal Mines Special Provision (CMSP) Act could only be auctioned to companies that are engaged in specified end use. With the promulgation of Minerals Laws (Amendment) Ordinance, 2020 has provided flexibility to the Central Government in deciding the end use of Schedule II and III coal mines under the CMSP Act.This would allow wider participation in auction of Schedule II and III coal mines, for a variety of purposes such as own consumption, sale or for any other purpose, as may be specified by the Central Government.
• Sections 4(2) and 5(1) of the CMSP Act and Section 11A of the Mines and Minerals (Development and Regulation) Act have been amended now clarifying that any company selected through auction/ allotment can carry on coal mining operation for own consumption, sale or for any other purposes, as may be specified by the Central Government allowing wider participation and competition in auction. Thus, the companies which do not possess any prior coal mining experience in India can now participate in auction of coal blocks.

3. CIL has started the process of:

• Opening of 55 greenfield projects having capacity of 92 MTPA and expansion of 193 brownfield projects having capacity of about 310 MTPA in the next five years.
• Portal based monitoring of on-going projects to ensure timely completion of projects.
• Introduction of state-of-the-art technology to improve its work efficiency with high capacity Heavy Earth Moving Machinery (HEMM), like 42 cum Shovel and 240 T Rear Dumpers in Gevra Expansion, Dipka & Kusmunda open cast mines.
• Introduction of Surface Miners in opencast mines to improve operational efficiency & to cater to environmental needs. During 2018-19, around 50% of the opencast coal production in CIL was through Surface miners.
• Introduction of IT enabled Operator Independent Truck Dispatch System (OITDS) in 11 mines of CIL.
• Introduction of Mass Production Technology in underground coal mines, 2 mines are worked with Powered Support Longwall technology and 9 mines are worked with Continuous Miner technology.
• For rapid coal evacuation, 19 nos. Coal Handling Plants with silos and rapid loading system having existing capacity of 152.5 million tonnes are in operation.
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