Cabinet approves Rs.8,500 crore scheme for Coal-Lignite Gasification projects
The 100% FDI in coal https://www.coalindia.in/ mining has attracted global expertise and advanced technologies, further boosting efficiency and productivity in the sector, Coal Ministry said on 27 Feb 2024.
The investment follows transformative reforms that have not only boosted production but also enhanced the efficiency and competitiveness in the coal sector https://www.iea.org/ with the broader goals of economic development and environmental conservation.
These were highlights of the sector’s ongoing reform and modernization, which are guided by the principles of sustainability and energy security, said the Ministry https://coal.nic.in/en .
Other highlights of reforms are:
Recognizing the importance of reducing emissions and mitigating climate change https://unfccc.int/ , significant investments have been made while the Cabinet has recently approved a Rs.8,500 crore comprehensive scheme, promoting Coal and Lignite Gasification Projects https://www.worldcoal.com/.
The Cabinet has also approved the proposals for equity investments for the establishment of a Coal-to-SNG Project at ECL command area through a joint venture of CIL & GAIL, and a Coal-to-Ammonium Nitrate Project at MCL command area through a joint venture of CIL & BHEL.
Integrated Coal Logistic Policy and Plan: The Ministry has formulated Integrated Coal Logistics Policy and aims to develop resilient and cost-effective coal evacuation logistic system.
With 103 First Mile Connectivity projects in progress with total capacity of over 1,000 MT costing about Rs.24,000 crores. Of these, 31 projects with capacity about 290 MT have already been completed, underscoring the commitment to modernizing coal transportation.
Furthermore, the Ministry has initiated 14 railway https://indianrailways.gov.in/ projects, addressing multimodal connectivity gaps with an investment of Rs.26,000 crores. Three of these projects are already operational.
Sustainable Practices: The Ministry has championed sustainable mining practices, promoting responsible coal extraction and rehabilitation of mining areas to minimize environmental impact and ensure the well-being of local communities.
During the last 10 years significant work on environment conservation has been achieved by converting about 18,868 hectares of land into green cover through massive plantation of more than 423 lakh sapling.
Similarly, 28 eco parks and Mine tourism site were established covering 261 hectares of land integrating 7 parks with local tourism.
Diversification of Energy Sources: In line with India’s commitment to diversifying its energy mix, Ministry of Coal is actively promoting extensive diversification within CPSEs, establishing pit-head Thermal Power Plants, Solar Plants https://isolaralliance.org/about/background , Coal and Lignite Gasification plants, critical Mineral exploration. Emphasizing the use of de-coaled land for cost-effective pithead thermal power plants, the Ministry’s directive aims to secure sustainable operations for both CIL and NLCIL, anticipating a future coal surplus.
These reforms have transformed the coal sector, making it more efficient, transparent and investor-friendly. The Ministry is committed to sustaining this progress, ensuring coal’s vital role in India’s energy security and economic development, while prioritizing sustainability and social responsibility. Fiinews.com
