COAL & MINES

Coal India aims to achieve 1 bn tonne production target by FY24

Coal India Limited (CIL) is eying to achieve 1 billion tonne coal production by 2023-24, with a required compound annual growth rate of 10.95 per cent. “The state-owned giant produced 716.08 million tonne coal of total target of 828.50 MT for 2020-21,” Union Minister of Coal, Mines and Parliamentary Affairs Pralhad Joshi, in a written reply in Rajya Sabha today.

During this period, the coal production declined by 2 per cent as compared to the corresponding period of the previous year, he said. “The decline in coal production is largely due to land acquisition, R&R issues, encroachment issues, delay in forestry and environmental clearances, evacuation and logistics constraints, law and order problems and heavy rainfall witnessed in the coal mining areas in the current year, which was around 25 per cent more than the previous year.”

As per Coal India, the outbreak of pandemic COVID-19 resulted in “subdued demand” of coal by power and non-power sector, which adversely affected coal despatch. The coal production was regulated due to high pithead coal stock, availability of coal stock at powerhouses end and less offtake.

As per the CEA report, as of February 28, 2021, coal stock with power plants stood at 31.91 million tonnes, which is equivalent to a consumption of 17 days.

Source
Business Today
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