DEMAND OF COAL
The details of the demand of coal in the country during 2011-12 and the estimated domestic production to meet this demand; whether Government is exploring the possibility of importing coal, in view of less supply against the demand; and the steps being taken by Government to meet this demand by commencing new coal mining projects?
The demand for coal during the year 2011-12 as assessed during the Mid-Term Appraisal carried out by the Planning Commission In September, 2009 is 713.24 MT against which the estimated domestic coal production during 2011-12 would be 591.78 MT.
As coal is on Open General License (OGL), the stakeholders, both in the public sector and private sector, are free to import coal. For meeting partly the shortfall in the requirement of power utilities, CIL has initiated action for importing 6 MT of coal for the current year (2010-1 1).
As many as 142 projects have been identified to be taken up during the XI plan. Out of these, 77 projects with an ultimate capacity of 184.78 MT and capital outlay of Rs. 11,234.46 crores have already been sanctioned and are under various stages of implementation. The balance 65 projects with an estimated capacity of 195.44 MT and estimated capital outlay of Rs. 25,486.93 crores are under various stages of approval / formulation. These projects are likely to contribute about 118 Mt during the terminal year of the XI plan i.e. 2011-12.
ALLOCATION OF COAL BLOCKS
Whether 207 coal blocks were allocated to a number of firms both in Government and private sector and these blocks have coal and lignite reserves of 49 billion tonnes; whether these blocks were allocated as far back as in 2003-04, but these firms including Government’s NTPC have not developed them and Government has issued show cause notices to these companies; and if so, the details thereof including the number of firms issued advisories to develop these blocks?
As on date a total of 208 coal and 28 lignite blocks have been allocated to government and private sector companies with combined geological reserves of about 50 billion and 1.8 billion tonnes respectively. A large number of the coal/lignite blocks have been allocated after 2005. Development of coal/lignite blocks involves a gestation period of 3 to 7 years for reaching the production stage and another two to three years for reaching the optimal production capacity.
As per the guidelines, coal production from a captive coal block should commence within 36 months (42 months in case the area falls in forest land) in case of open cast mines and in 48 months (54 months in case the area falls in forest land) in case of underground mine, from the date of allocation.
If a coal block is not explored, additional two years are allowed for detailed exploration and three months for preparation of geological report. The allocatees of coal blocks, who have not started production so far, are in various stages of obtaining statutory clearances and mining lease, preparing mining plan, acquisition of land, procuring machinery and equipment etc. for both mining as well as end-use project.
The responsibility of developing the coal block as per the prescribed guidelines and milestone chart attached with the allocation letter rests entirely with the allocattee company.
In the terms and conditions of the allocation letters, it is categorically mentioned that in the event of willful delay in the development of coal blocks and in setting up of the end use project, the Government would take appropriate action to de-allocate the said block.
Government periodically monitors and reviews the development of allocated blocks as well as end use plants by the allocattee companies in the review meetings. Wherever delays are noticed, show cause notices for de-allocation or advisories are issued to allocattees cautioning them to bring the coal blocks into production as per the guidelines/milestones chart.
Based on the review undertaken by the review committee in the meeting held on 20.7.2010 and 21.7.2010, it was noted that the progress in respect of some coal/lignite blocks was less than satisfactory against the milestones set out and the allocatees were not able to develop the allocated blocks according to milestones prescribed. Accordingly, it has been decided to issue show cause notices to 45 coal blocks allocatee Government companies including NTPC and 48 coal blocks allocatee Private companies. The committee recommended issue of advisory for 5 coal blocks allocated to government companies, 7 coal blocks allocated to private companies and 7 blocks allocated under tariff based competitive bidding. The committee has also recommended issuing 4 show cause notices and 4 advisories in respect of lignite blocks.
GAP BETWEEN DEMAND AND SUPPLY OF COAL
Whether it is fact that inspite of an increased coal production in the country, a huge gap between the demand and supply still exists; if so, the details thereof; whether it is also a fact that the country is unable to expand the coal production due to many structures imposed; and if so, the details thereof?
The demand and production of coal for the last five years is given below:Figures are in Million Tonnes and (P) stands for provisional data.
Year Demand Production
2005-06 445.65 407.04
2006-07 474.18 430.83
2007-08 492.50 457.08
2008-09 550.00 492.76
2009-10 604.33 532.06(P)
The main hurdles in expanding the coal production capacity, inter alia, are:-
<ul><li> Delay in Environmental and Forestry Clearance</li>
<li>Delay in Land Acquisition</li>
<li>Constraints in respect of coal evacuation infrastructure facilities</li></ul>
POLICY FOR SMALL COAL BLOCKS
Whether it is a fact that the Ministry has approved a new policy for identifying and distributing small coal blocks to private companies and Government corporations; (b) if so, the details of the policy in this in this regard; how the above coal blocks are geological and geographically different from the main coal blocks; and why there was a shift in the policy as Government earlier decided to allocate them to cooperatives run by local villages?
The coal blocks including the small & isolated blocks can be allocated to only those who are eligible to do mining as per the provisions under Section 3(3) (a) of the Coal Mines (Nationalisation) Act, 1973 and the coal so mined from the block can be used only for the purposes as given under Section 3(3)(a).
In view of above, it is decided to allocate the small & isolated coal patches to the following: (i) The State Mining Corporations u/s 3(3)(a)(i) of the Coal Mines (Nationalisation) Act, 1973, and on allocation of these blocks the State Mining Corporations have to develop these blocks under the existing guidelines under the Government dispensation route.
Group of identified small & isolated patches in a State, sufficient to meet the requirement of coal to sustain a captive plant of sizable capacity, to private companies through competitive bidding as per the amended provisions of the Mines and Minerals (Development and Regulations)
ACCIDENTS IN COAL MINES
The details of the accidents that took place in various coal mines in the country during the last three years, year-wise, company-wise; the details of the incidents wherein the Court of Inquiry has been constituted during the said period; and the number of officers found guilty and the action taken against them?
The details of the accidents that took place in various coal mines in the country during the last three years, year-wise company wise as obtained from Ministry of Labour & Employment and (MoL&E) are as under:
SUPPLY OF COAL TO POWER PLANTS
Whether it is a fact that due to short supply of coal to various thermal power plants in the western States, particularly with regard to Gujarat, the power generation has sharply gone down in recent years; if so, the details thereof; the details of coal being supplied to various power plants in the country vis-à-vis their demands during the last three years and as on date; and the details of coal imported by the Coal India Limited during the years 2009-10 and 2010-11?
Power Plants in Western Region which are monitored by the Central Electricity Authority on daily basis, have achieved generation targets of 95 - 99% against their programme during the last three years. For the period April-October 2010, achievement is 94% (provisional).
The power plants located in Gujarat have in fact achieved generation targets of 99-104% vis-à-vis their programme during the last three years. Their achievement (provisional) during April-October 2010 is 99%. The projected annual coal requirements of Power Utilities of the country and the supplies made by the Government coal companies during the last three years and the current year are as below:
The details of the demand of coal in the country during 2011-12 and the estimated domestic production to meet this demand; whether Government is exploring the possibility of importing coal, in view of less supply against the demand; and the steps being taken by Government to meet this demand by commencing new coal mining projects?
The demand for coal during the year 2011-12 as assessed during the Mid-Term Appraisal carried out by the Planning Commission In September, 2009 is 713.24 MT against which the estimated domestic coal production during 2011-12 would be 591.78 MT.
As coal is on Open General License (OGL), the stakeholders, both in the public sector and private sector, are free to import coal. For meeting partly the shortfall in the requirement of power utilities, CIL has initiated action for importing 6 MT of coal for the current year (2010-1 1).
As many as 142 projects have been identified to be taken up during the XI plan. Out of these, 77 projects with an ultimate capacity of 184.78 MT and capital outlay of Rs. 11,234.46 crores have already been sanctioned and are under various stages of implementation. The balance 65 projects with an estimated capacity of 195.44 MT and estimated capital outlay of Rs. 25,486.93 crores are under various stages of approval / formulation. These projects are likely to contribute about 118 Mt during the terminal year of the XI plan i.e. 2011-12.
ALLOCATION OF COAL BLOCKS
Whether 207 coal blocks were allocated to a number of firms both in Government and private sector and these blocks have coal and lignite reserves of 49 billion tonnes; whether these blocks were allocated as far back as in 2003-04, but these firms including Government’s NTPC have not developed them and Government has issued show cause notices to these companies; and if so, the details thereof including the number of firms issued advisories to develop these blocks?
As on date a total of 208 coal and 28 lignite blocks have been allocated to government and private sector companies with combined geological reserves of about 50 billion and 1.8 billion tonnes respectively. A large number of the coal/lignite blocks have been allocated after 2005. Development of coal/lignite blocks involves a gestation period of 3 to 7 years for reaching the production stage and another two to three years for reaching the optimal production capacity.
As per the guidelines, coal production from a captive coal block should commence within 36 months (42 months in case the area falls in forest land) in case of open cast mines and in 48 months (54 months in case the area falls in forest land) in case of underground mine, from the date of allocation.
If a coal block is not explored, additional two years are allowed for detailed exploration and three months for preparation of geological report. The allocatees of coal blocks, who have not started production so far, are in various stages of obtaining statutory clearances and mining lease, preparing mining plan, acquisition of land, procuring machinery and equipment etc. for both mining as well as end-use project.
The responsibility of developing the coal block as per the prescribed guidelines and milestone chart attached with the allocation letter rests entirely with the allocattee company.
In the terms and conditions of the allocation letters, it is categorically mentioned that in the event of willful delay in the development of coal blocks and in setting up of the end use project, the Government would take appropriate action to de-allocate the said block.
Government periodically monitors and reviews the development of allocated blocks as well as end use plants by the allocattee companies in the review meetings. Wherever delays are noticed, show cause notices for de-allocation or advisories are issued to allocattees cautioning them to bring the coal blocks into production as per the guidelines/milestones chart.
Based on the review undertaken by the review committee in the meeting held on 20.7.2010 and 21.7.2010, it was noted that the progress in respect of some coal/lignite blocks was less than satisfactory against the milestones set out and the allocatees were not able to develop the allocated blocks according to milestones prescribed. Accordingly, it has been decided to issue show cause notices to 45 coal blocks allocatee Government companies including NTPC and 48 coal blocks allocatee Private companies. The committee recommended issue of advisory for 5 coal blocks allocated to government companies, 7 coal blocks allocated to private companies and 7 blocks allocated under tariff based competitive bidding. The committee has also recommended issuing 4 show cause notices and 4 advisories in respect of lignite blocks.
GAP BETWEEN DEMAND AND SUPPLY OF COAL
Whether it is fact that inspite of an increased coal production in the country, a huge gap between the demand and supply still exists; if so, the details thereof; whether it is also a fact that the country is unable to expand the coal production due to many structures imposed; and if so, the details thereof?
The demand and production of coal for the last five years is given below:Figures are in Million Tonnes and (P) stands for provisional data.
Year Demand Production
2005-06 445.65 407.04
2006-07 474.18 430.83
2007-08 492.50 457.08
2008-09 550.00 492.76
2009-10 604.33 532.06(P)
The main hurdles in expanding the coal production capacity, inter alia, are:-
<ul><li> Delay in Environmental and Forestry Clearance</li>
<li>Delay in Land Acquisition</li>
<li>Constraints in respect of coal evacuation infrastructure facilities</li></ul>
POLICY FOR SMALL COAL BLOCKS
Whether it is a fact that the Ministry has approved a new policy for identifying and distributing small coal blocks to private companies and Government corporations; (b) if so, the details of the policy in this in this regard; how the above coal blocks are geological and geographically different from the main coal blocks; and why there was a shift in the policy as Government earlier decided to allocate them to cooperatives run by local villages?
The coal blocks including the small & isolated blocks can be allocated to only those who are eligible to do mining as per the provisions under Section 3(3) (a) of the Coal Mines (Nationalisation) Act, 1973 and the coal so mined from the block can be used only for the purposes as given under Section 3(3)(a).
In view of above, it is decided to allocate the small & isolated coal patches to the following: (i) The State Mining Corporations u/s 3(3)(a)(i) of the Coal Mines (Nationalisation) Act, 1973, and on allocation of these blocks the State Mining Corporations have to develop these blocks under the existing guidelines under the Government dispensation route.
Group of identified small & isolated patches in a State, sufficient to meet the requirement of coal to sustain a captive plant of sizable capacity, to private companies through competitive bidding as per the amended provisions of the Mines and Minerals (Development and Regulations)
ACCIDENTS IN COAL MINES
The details of the accidents that took place in various coal mines in the country during the last three years, year-wise, company-wise; the details of the incidents wherein the Court of Inquiry has been constituted during the said period; and the number of officers found guilty and the action taken against them?
The details of the accidents that took place in various coal mines in the country during the last three years, year-wise company wise as obtained from Ministry of Labour & Employment and (MoL&E) are as under:
SUPPLY OF COAL TO POWER PLANTS
Whether it is a fact that due to short supply of coal to various thermal power plants in the western States, particularly with regard to Gujarat, the power generation has sharply gone down in recent years; if so, the details thereof; the details of coal being supplied to various power plants in the country vis-à-vis their demands during the last three years and as on date; and the details of coal imported by the Coal India Limited during the years 2009-10 and 2010-11?
Power Plants in Western Region which are monitored by the Central Electricity Authority on daily basis, have achieved generation targets of 95 - 99% against their programme during the last three years. For the period April-October 2010, achievement is 94% (provisional).
The power plants located in Gujarat have in fact achieved generation targets of 99-104% vis-à-vis their programme during the last three years. Their achievement (provisional) during April-October 2010 is 99%. The projected annual coal requirements of Power Utilities of the country and the supplies made by the Government coal companies during the last three years and the current year are as below:
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