India Achieves Record Coal Production and Dispatch in December 2024

Between April 1 and December 31, 2024, total coal production from captive and commercial mines reached 131.05 million tons (MT), reflecting a 34.20% increase from 97.665 MT during the same period last year. December 2024 alone saw coal production surge to 18.40 MT, with a daily average production of 0.594 MT, a 30.75% increase compared to December 2023’s daily average of 0.445 MT.

India Steps Up Coal Production and Promotes Domestic Manufacturing

The Indian government has taken several significant steps to boost domestic coal production and reduce reliance on imports. While Rajasthan does not have substantial coal deposits, the government’s focus is on increasing overall domestic production and ensuring energy security for the nation.

India’s Commitment to Sustainable Mining Practices

The adoption of advanced mining technologies like surface mining, continuous mining, and highwall/longwall mining has minimized environmental impact and improved efficiency. By increasing the use of First Mile Connectivity (FMC) projects, the government aims to reduce the reliance on road transportation, thereby reducing carbon emissions and air pollution.

Offshore Areas Operating Right Rules, 2024

Offshore areas will only be available for grant of operating rights after being notified in the Official Gazette by the administering authority. The government, government companies, or corporations have the priority to obtain operating rights for reserved offshore areas.

Ministry of Coal Advocates Clean Coal Technologies to Drive Sustainable Energy Transition

To spearhead the transition towards cleaner coal technologies, the Government has launched several initiatives, notably the Coal Gasification Mission. To facilitate these initiatives, a financial assistance scheme has been proposed to promote Coal/Lignite Gasification Projects by Government PSUs and the Private Sector, with an allocation of ₹8500 crores earmarked for incentives. This scheme seeks to demonstrate the viability of gasification projects, accelerate downstream product markets, and create additional value chains in the economy.

MoP Advises GENCOs On Timely Import Of Coal For Maximizing Production In Coal Mines

The Ministry of Power (MoP) has extended its prior advisory on blending of imported coal at 6% by weight from March 2024 to June 2024. GENCOs must ensure that their imported coal contracts continue coal supplies till June 2024. They are also encouraged to continuously monitor their coal stock positions and opt for blending in accordance with their requirements.

Report on Domestic Manufacturing of Heavy Machinery

The committee recommended standardization of equipment to promote domestic manufacturing, urging Captive/Commercial Mine operators and contractors to prioritize indigenous equipment. Tender clauses are proposed to align with the “Make in India” mission, promoting the use of domestically manufactured equipment. To incentivize manufacturers, the committee suggested a scheme to encourage the design, development, and production of equipment in India for five years under the “Make in India” initiative.

Ministry of coal to commence 8th round of auction of commercial coal mines

Ministry of coal makes efforts to stop importing of coal with the main focus on production of coal within the nation. The mines being auctioned are spread across coal bearing States of Jharkhand, Odisha, Maharashtra, West Bengal and Bihar. Sale of tender document shall start from November 15, 2023.. Details of the mines, auction terms, timelines etc. can be accessed on MSTC auction platform.

Progress Report on Commercial Coal Mine Auctions

The aim of the coal mine auctions is that the coal sector be freed from distortions, vested interests and sectoral allocations. The auctions seek to bring everyone to a level playing field for efficient, fair and fast allocation of coal blocks. This meets the overarching goal of achieving Atmanirbharata in coal production in the country.