India's coal imports also rose by 7.7 per cent to 268.24 million tonnes in FY24 from 249.06 MT in FY23, and there is every indication that it may even rise in the near future as the Indian economy will expand. Even during the first quarter April-July period of the current financial year 2024-25, coal imports saw a slight increase of 0.9 per cent reaching 90.51 million tonnes (MT), up from 89.68 MT the previous year.
The inventory of Geological Resources of Indian Coal as on 01.04.2023 and up to a depth of 1200m prepared by the Geological Survey of India on the basis of resources estimated by CMPDI, MECL, GSI, SCCL and others is 378.21 BT. The resources have been found mainly in Odisha, Jharkhand, Chhattisgarh, West Bengal, Madhya Pradesh, Telangana and Maharashtra.
The type-wise and category-wise resource as on 01.04.2023 shows that the country has a reserve of 35.64 billion tonne of coking coal, 340.91 billion tonnes of non-coking coal, and 1.66 billion tonne of high sulphur grade coal.
The Lignite reserves in the country are estimated at around 47.37 Billion Tonne (as on 01.04.2023). The major deposits are located in the State of Tamil Nadu, followed by Rajasthan, Gujarat, Union Territory of Puducherry, Jammu and Kashmir, Kerala, Odisha, and West Bengal.
During 2023-24 actual raw coal production is 997.25 million tonnes (MT) against the Annual production target of 1012.14 MT. Coal production in 2012-13 in the country was 556.40 MT, which rose to 609.18 MT in 2014-15, and 716.08 MT in 2021. Since then, there has been considerable yearly increase in coal production in the country every year.
Ministry of Coal’s Annual report 2023-24 says that actual Raw Coal dispatched was 972.65 MT against the Annual Target of 1012.14 MT.
Sector-wise raw coal dispatch has been largest for the Power (utility) sector which was increased by 5.6 per cent from 586.58 MT in 2022-23 to 619.14 MT in 2023-24. However, Power (captive) sector growth was 30 per cent, highest in all categories. It rose from 39.80 MT in 2023-24 to 51.88 MT in 2023-24. Coal dispatched to still sector registered a negative growth from 3.28 MT to 3.27 MT during this period. There was 21 per cent growth to dispatch of coal to Cement sector from 3.49 MT to 4.21 MT.
CIL has completed six tranches of linkage auctions and 7th tranches is under progress so far, total 170.50 Million Tonne have been booked by the successful bidders.314.20 Million Tonnes coal linkage have been booked / allocated under the different provisions of the SHAKTI Policy.
A new Sub-sector under the NRS linkage auctions with the nomenclature of “Steel using Coking coal through WDO route” has been created in Mar’ 2024. It is expected that the new subsector will lead to enhanced domestic coking coal consumption in the steel industry in the country.
An amendment has been effected in SHAKTI policy. “All such power plants including private generators which do not have PPAs shall be allowed coal linkage under SHAKTI Policy fora period of 3 months and up to a maximum of 1 year, provided further that the power generated through that linkage is sold through any product in power exchanges or in short-term through a transparent bidding process through Discovery of Efficient Energy Price (DEEP) portal. A methodology in this regard shall be formulated by Ministry of Power, in consultation with Ministry of Coal”.
With these transformative measures taken by Ministry of Coal under ‘Atmanirbhar Bharat’ initiative of PM, CIL has offered eleven discontinued coking coal mines, out of the total 34 discontinued mines, on an innovative model of revenue sharing to the private sector with a PRC of 7.4 MT.
To further enhance raw coking coal production, the Ministry of Coal has auctioned 10 coking coal blocks to the private sector with a PRC of 22.5MTduring the last two years. Most of these blocks are expected to start production by 2025.
Ministry of Coal intent to engage reputed MDOs in coal mines, through open global tenders, and to ramp up domestic coal output and reduce import dependency to extent possible. The contract period of engagement is for 25 years or life of mine whichever is less.
India is also pursuing commercial coal mining. As of now total 104 coal mines have successfully been auctioned under commercial mining having PRC of 226.20 MTPA. (IPA Service)
INDIA TO STEP UP COAL PRODUCTION TO 1.5 BILLION TONNE IN FY 2029-30
DOMESTIC COAL VOLUME INCREASED TO 997.25 MT, IMPORT TO 268.25 MT IN FY 2023-24
Dr. Gyan Pathak - 2024-09-28 11:47
To strengthen India’s energy security and realise self-reliance under “Atmanirbhar Bharat” programme by replacing imported coal with domestically mined coal, India will increase its production from the provisional 997.25 million tonne (MT) in FY24 to 1.31BT in FY25 and 1.5BT inFY30.It has been planned to sustain rapidly expanding economy of the country and its ever rising energy requirement, though it has also committed itself to net-zero emission level by 2070.