New Government Asks Coal India to Prepare Action Plan to Enhance Output: Report

Coal India Ltd (CIL) has been asked by the new government to prepare an action plan for enhancing output over the next five years and fast-track the completion of projects and expansion of existing coal mines, according to an official source.

The coal ministry has asked "CIL to expedite completion of projects and expansion of existing projects," and "prepare detailed project wise action plan to enhance production in next five years," the source said.

The source further said that the state-owned coal behemoth has also been asked by the ministry to adopt action plan for technology development and modernisation of mines in Coal India.

Coal India has been asked to develop "policies and action plan for enhancing underground mining", the source added.

The company was asked to prepare the blueprint ahead of Piyush Goyal taking charge as Minister of State (Independent Charge) for Power, Coal and New & Renewable Energy. CIL's 241 coal mining projects are stuck in the absence of environment and forestry clearances.

At present, 48 environmental clearance proposals, having a capacity of about 109 million tonnes (MT) are awaiting clearances at different levels and 193 forestry proposals are awaiting clearances either at the Ministry of Environment and Forests (MoEF) or at state levels.

The Maharatna firm, which accounts for over 80 per cent of the domestic coal output, produced 462.53 million tonnes (MT) of coal in FY 2013-14, missing its target of 482 MT.

However, the country's coal production in the last fiscal year was 564.7 MT, according to a Coal Ministry document.

Coal India's production target for 2014-15 has been set at 507 million tonnes.