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Coal: All the jargon you need to know

New Delhi:

Coal is literally hot commodity, with most of the country's power and electricity dependent on what is also called 'black gold'. Around 66 per cent of India's power generation is coal based, according to the world's largest miner, Coal India. There is however jargon surrounding the commodity and the industry at large.

Here are some technical terms simplified

  1. Washed coal - is coal that has been mechanically washed off impurities such as ash, soil, rocks etc. Washed coal is more expensive as it burns longer thus providing more energy. Most of the imported coal is washed whereas majority of Indian coal which costs much less is of the unwashed variety. According to a study by the US Department of Energy, the use of washed coal reduces carbon dioxide emissions by 11 per cent.

  2. Unwashed coal - is coal which has not been treated to rid it of its impurities. According to a UK-based minority stakeholder of Coal India, most of the coal supplied to power companies in India is unwashed and contains 30-50 per cent ash.

  3. Coal washery - also known as a coal preparation plant is a facility that washes off the soil, rock and other impurities from coal. The end product is then known as washed coal, which is more environment-friendly, fetches better prices and is of better quality. Coal India is in the process of setting up 20 new washeries with an annual capacity of 111 million tonnes. Currently, it operates 17 washeries with an annual capacity of 39.4 million tonnes.

  4. Coal pithead - is where the mine is located and usually where the mined coal is kept before being transported to power companies.

  5. Coal offtake - should not be confused with production, it is the amount of coal supplied from the coal pitheads. Coal offtake could be more than the amount produced as it may include earlier pithead stock.


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