Team News Riveting
Scripting a record high, Coal India Limited (CIL) has approved 32 coal mining projects in the current fiscal till January 2021, which indicate an estimated incremental capital of around Rs 47,300 crore.
While 24 of the 32 are expansion of the existing projects, the rest 8 are new greenfield projects. The combined incremental peak capacity of these projects is projected at 193 Million Tonne Per Annum (MTPA) This will be in addition to the already sanctioned capacity of 303.5 MTPA.
The approval of the projects enables coal companies of CIL to escalate their production in the ensuing years. CIL Board and Boards of the respective subsidiary companies have given their nod for the move.
The incremental production by FY’24 from the approved 32 expansion and the new greenfield projects would be to the tune of around 81 MTPA.
“Such high number, either in terms of projects or capacity addition, has not been cleared in a single financial year so far” said a senior official of the company.
CIL is striving to replace the coal imports through its own coal and any increase in domestic production would play a catalytic role in this effort.
Of the 193 MTs/Y capacity, of 32 projects, the three subsidiaries of CIL, South Eastern Coalfields Limited (SECL), Central Coalfields Limited (CCL) and Mahanadi Coalfields Limited (MCL) at 167 MTPA between them form the bulk at 86.5 per cent.
SECL with 6 projects at an estimated incremental investment of Rs 18,657 crore accounts for 63.5 MTPA followed by CCL at an investment of Rs 7,520 crore for 10 projects of 56.6 MTPA. MCL with 3 projects would add up to 47 MTPA at an investment of Rs. 14,057 crore. The rest, nearly 26 MTPA would be met through ECL, NCL and WCL with the remaining investment between them.
“Concurrently, in tandem with production the company is also strengthening the rail evacuation infrastructure through setting up rail lines, sidings and first mile connectivity projects in the companies from where the majority of the output is expected” said the stated official.
