The Business Bytes
NEW DELHI, AAPRIL 09, 2024 (TBB BUREAU): In a strategic move to meet escalating power demands and bolster domestic coal production, India is poised to bring as many as 20 coal mines into operation by the end of this year, according to an official source. This development assumes paramount importance as the country gears up to surpass a peak power demand of 400 GW by 2030.
Among these coal blocks, seven belong to the state-owned Coal India and three to the Singareni Collieries Company Ltd (SCCL), jointly owned by the Telangana government and the Centre. Together, these mines are projected to contribute an additional 100 million tonnes (MT) to the coal output within the next three to four years.
Notably, Coal India currently commands over 80 per cent of the domestic coal production, while SCCL plays a significant role in augmenting the nation’s coal reserves on a 51:49 equity basis between the state and central governments.
This surge in coal production aligns with India’s recent milestone achievement of surpassing 1 billion tonnes of coal and lignite production in the fiscal year 2023-24, as announced by Union Coal and Mines Minister Pralhad Joshi. Minister Joshi also expressed confidence that the country is on track to achieve its target of eliminating coal imports by 2025-26.
Official figures reveal that India’s total coal and lignite output stood at 937 MT in the fiscal year 2022-23, with a notable reduction in coal imports for blending, dropping from 30.80 MT in 2022-23 to 22.20 MT in the fiscal year 2023-24.
