Wed, Feb22, 2012
Kolkata: Later this month, when Mr Sriprakash Jaiswal will be meeting top officials from the Ministry as well as Coal India to work out the coal supply modalities for next fiscal, following the recent directive of the Prime Minister's Office (PMO), he may find himself in an unenviable situation.
First, he has to ask CIL to make additional supplies of approximately 50 million tonnes of coal in 2012-13 and, reach them to power stations ignoring concerns on the logistics front.
Jigsaw Puzzle
CIL is currently agreement-bound to supply 90 per cent (trigger level) of the 306 million tonnes requirement to 75 power stations in the country which were commissioned before April 2009.
If the company is now forced to sign fuel supply agreements (FSA) with the projects commissioned during the last two years, the total supply commitment will reach approximately 350 mt during the next fiscal.
Assuming that CIL will achieve a modest 5-6 per cent production growth next fiscal, there will still be a shortfall of 25-30 million tonnes.
Theoretically, the shortfall can be managed by restricting supplies to the existing customers to 90 per cent of requirement. Available estimates suggest many in this category are now enjoying 100 per cent or more supplies.
Pithead stock
Shortfall in production can be mitigated by diluting the pit-head stock. CIL ended last fiscal with an inventory of 70 mt and an insider suggests that irrespective of the recent rise in off-take, there may not be any significant dilution in stock by the end of this fiscal.
However, evacuation of this stock, dispersed across mines in five states is not easy, courtesy poor evacuation logistics on the part of Railways. Moreover, there are seasonal impediments - such as restricted working hours in summer and poor road conditions in rainy season – in moving coal from mine to railway sidings.
Poor logistics may also prove to be a huge bottleneck in evacuating the augmented production. Sources suggest, criticised from all corners, CIL has launched a hunt to locate assets which can be brought on stream with immediate effect. However, many such assets (as in Rajmahal) do not enjoy adequate evacuation logistics.
The theoretical possibility of meeting shortfall through imports is also difficult to achieve. Even if power producers now agree to pay CIL for imported coal (which they opposed in the past), CIL is not in a position to solve logistics tangle involved in moving the coal from ports to power plants.
Passing the buck
With logistics set to emerge as spoilsport in moving coal to customers, inviting penalties on CIL; the coal major may plead for keeping safety options open with regard to future FSAs. One logical step in this direction could be making power sector partly or fully responsible for lifting the available coal especially from areas which do not have adequate rail logistics.
(sourced BusinessLine.com)
Keywords: coal supply, Sriprakash Jaiswal, fuel supply agreements, power projects
Showing posts with label Indian coal minister. Show all posts
Showing posts with label Indian coal minister. Show all posts
Wednesday, February 22, 2012
Monday, February 13, 2012
Role of captive coal producers in India
Monday, 13 Feb 2012
Business standard reported that with Indian prime minister Dr Manmohan Singh’s office working on urgent measures to address the ‘coal crisis’, the private power industry’s hue and cry over the issue seems to have subsided for now.
Experts, however, said that private developers have no right to complain, as they have failed to develop their own captive coal reserves over the past two decades.
As per report, the private sector accounts for a bulk of the dip in production. Of the 208 captive coal blocks allotted since 1993, with a whopping 49 billion tonnes of reserves and a production potential of 657 million tonne per year (a notch less than India’s annual coal demand), the estimated production is a dismal 37 million tonnes per year from only 27 captive blocks the private sector has been able to commission so far.
Mr Amrit Pandurangi senior director at accounting and consultancy firm Deloitte Touche Tohmatsu Ltd said that “While there is no denying CIL’s production has come down, the private sector has also failed to increase production to expected levels. This might be related to delayed clearances in some cases. But the private sector’s tendency to grab blocks and continue to sit over them for long is also to be blamed.”
The private sector does not agree that delays in developing captive blocks have played a major role in augmenting the shortages, and attributes the slump to unavailability of linkage coal. Mr Ashok Khurana director general of the Association of Power Producers said that “Captive blocks have been delayed because of land and environment clearance issues. The nation lost over two years because of the ‘no-go’ policy. CIL’s production has stagnated.”
The power sector’s requirement of coal in the current financial year is estimated at 470 million tonne. The sector is likely to suffer an overall shortage of 70 million tonne.
(Sourced from BS)
Business standard reported that with Indian prime minister Dr Manmohan Singh’s office working on urgent measures to address the ‘coal crisis’, the private power industry’s hue and cry over the issue seems to have subsided for now.
Experts, however, said that private developers have no right to complain, as they have failed to develop their own captive coal reserves over the past two decades.
As per report, the private sector accounts for a bulk of the dip in production. Of the 208 captive coal blocks allotted since 1993, with a whopping 49 billion tonnes of reserves and a production potential of 657 million tonne per year (a notch less than India’s annual coal demand), the estimated production is a dismal 37 million tonnes per year from only 27 captive blocks the private sector has been able to commission so far.
Mr Amrit Pandurangi senior director at accounting and consultancy firm Deloitte Touche Tohmatsu Ltd said that “While there is no denying CIL’s production has come down, the private sector has also failed to increase production to expected levels. This might be related to delayed clearances in some cases. But the private sector’s tendency to grab blocks and continue to sit over them for long is also to be blamed.”
The private sector does not agree that delays in developing captive blocks have played a major role in augmenting the shortages, and attributes the slump to unavailability of linkage coal. Mr Ashok Khurana director general of the Association of Power Producers said that “Captive blocks have been delayed because of land and environment clearance issues. The nation lost over two years because of the ‘no-go’ policy. CIL’s production has stagnated.”
The power sector’s requirement of coal in the current financial year is estimated at 470 million tonne. The sector is likely to suffer an overall shortage of 70 million tonne.
(Sourced from BS)
Friday, December 2, 2011
Minister seeks action on poor coal output
Friday,Dec2, 2011
RANCHI: Expressing dissatisfaction with the performance of government-run Central Coalfields Limited (CCL), Mahanadi Coalfields Ltd (MCL) and Bharat Coking Coal Ltd (BCCL), Union coal minister Sri Prakash Jaiswal on Thursday warned of taking action against the officials of these companies, including those serving in the coal ministry found responsible for poor performance.
Talking to newsmen after a review meeting at the CCL headquarters, he said, "It was only because of the poor performance of CCL in terms of coal off-take and production that he is reviewing it on a regular basis. We are concerned because of the increasing demand of coal from all over the country in the wake of the rising demand for power. The demand of existing power plants is growing each day and there is a long queue of new power sector units waiting for our commitment to fulfill their requirement of coal."
According to him, "Though we have asked the upcoming power production units to fulfill their demands by importing coal, we also have to augment our production to meet the demands," he said.
He admitted that while some projects are pending
because of forest clearance, environmental clearance and many other issues, a large number of allotted coal blocks have been cancelled because they failed to become operational within the given timeframe.
When asked about the cancellation of coal block allotted to Jharkhand, Jaiswal said chief minister Arjun Munda met him in New Delhi over the issue and his ministry is looking into the matter.
"As far as the cancellation of the coal blocks allotted to the state government and the state-owned enterprises are concerned, a review committee has been constituted under the coal ministry to look into the matter," said Jaiswal. He also admitted that along with the state government even officials of National Thermal Power Corporation ( NTPC) approached the ministry to apprise them of some practical difficulties because of which mining could not be started in the allotted coal blocks.
Answering yet another question on companies obtaining coal linkage and illegally selling it to non-coal traders at the higher market rate as unearthed by CBI recently, Jaiswal initially expressed ignorance about such incident and prompted CCL CMD R K Saha to chip in and clarify this. Saha said the company is trying to figure out such companies and is canceling supply to them. "A certificate is provided by the state government to a non-coal company for coal linkage, following which we verify at our own end but owing to lack of manpower, the process has been partially affected," he said.
Jaiswal admitted that the coal sector has been hit by
corruption for the last 15 years and the ministry is trying to tighten its noose around people, including officials of the companies.
(sourced TimesofIndia)
RANCHI: Expressing dissatisfaction with the performance of government-run Central Coalfields Limited (CCL), Mahanadi Coalfields Ltd (MCL) and Bharat Coking Coal Ltd (BCCL), Union coal minister Sri Prakash Jaiswal on Thursday warned of taking action against the officials of these companies, including those serving in the coal ministry found responsible for poor performance.
Talking to newsmen after a review meeting at the CCL headquarters, he said, "It was only because of the poor performance of CCL in terms of coal off-take and production that he is reviewing it on a regular basis. We are concerned because of the increasing demand of coal from all over the country in the wake of the rising demand for power. The demand of existing power plants is growing each day and there is a long queue of new power sector units waiting for our commitment to fulfill their requirement of coal."
According to him, "Though we have asked the upcoming power production units to fulfill their demands by importing coal, we also have to augment our production to meet the demands," he said.
He admitted that while some projects are pending
because of forest clearance, environmental clearance and many other issues, a large number of allotted coal blocks have been cancelled because they failed to become operational within the given timeframe.
When asked about the cancellation of coal block allotted to Jharkhand, Jaiswal said chief minister Arjun Munda met him in New Delhi over the issue and his ministry is looking into the matter.
"As far as the cancellation of the coal blocks allotted to the state government and the state-owned enterprises are concerned, a review committee has been constituted under the coal ministry to look into the matter," said Jaiswal. He also admitted that along with the state government even officials of National Thermal Power Corporation ( NTPC) approached the ministry to apprise them of some practical difficulties because of which mining could not be started in the allotted coal blocks.
Answering yet another question on companies obtaining coal linkage and illegally selling it to non-coal traders at the higher market rate as unearthed by CBI recently, Jaiswal initially expressed ignorance about such incident and prompted CCL CMD R K Saha to chip in and clarify this. Saha said the company is trying to figure out such companies and is canceling supply to them. "A certificate is provided by the state government to a non-coal company for coal linkage, following which we verify at our own end but owing to lack of manpower, the process has been partially affected," he said.
Jaiswal admitted that the coal sector has been hit by
corruption for the last 15 years and the ministry is trying to tighten its noose around people, including officials of the companies.
(sourced TimesofIndia)
Tuesday, November 8, 2011
Coal minister assure uninterrupted supply of coal to power plants
Tuesday, 08 Nov 2011
The Coal Ministry has assured uninterrupted supply of coal to power plants hit by shortfalls in supply of the fuel, but while quantities will be earmarked for the generation companies, they will have to secure their requirement through competitive bidding.
Mr Sriprakash Jaiswal coal minister said that "We are open to continue offering e-auction coal for power plants. We can also earmark coal for them to ensure availability. But they have to buy at the auction price. I have told NTPC about this.”
With around 30 power plants running with critical coal stocks, state run Coal India had diverted an additional 10% of its output, or 4 million tonnes, for e-auction to tide over a power crisis in October.
That month, power companies had to buy coal meant for e-auction at a price almost 40 per cent higher than the notified price.
The Power Ministry has been lobbying to stop the e auction of coal on account of short supply to power plants. This would have impacted CIL, as the miner sells about 10 to 11% of its coal output through the e-auction route, which accounts for between 25 to 30% of its total annual revenue.
(Sourced from ET)
The Coal Ministry has assured uninterrupted supply of coal to power plants hit by shortfalls in supply of the fuel, but while quantities will be earmarked for the generation companies, they will have to secure their requirement through competitive bidding.
Mr Sriprakash Jaiswal coal minister said that "We are open to continue offering e-auction coal for power plants. We can also earmark coal for them to ensure availability. But they have to buy at the auction price. I have told NTPC about this.”
With around 30 power plants running with critical coal stocks, state run Coal India had diverted an additional 10% of its output, or 4 million tonnes, for e-auction to tide over a power crisis in October.
That month, power companies had to buy coal meant for e-auction at a price almost 40 per cent higher than the notified price.
The Power Ministry has been lobbying to stop the e auction of coal on account of short supply to power plants. This would have impacted CIL, as the miner sells about 10 to 11% of its coal output through the e-auction route, which accounts for between 25 to 30% of its total annual revenue.
(Sourced from ET)
Friday, November 4, 2011
Coal minister assures all help to RINL for coal blocks allocation
Friday, 04 Nov 2011
Mr Sriprakash Jaiswal minster for coal appreciated the initiatives and efforts of RINL in expanding its capacity from the present 3 million tonne per annum to 6.3 million tonne per annum and also its future expansion program to 20 million tonne per annum.
He lauded the progress and growth of RINL. The Minister assured RINL CMD all possible needful help in the allotment of Coal blocks to the Company as RINL has no captive Coal blocks.
This assurance came from the union minister when Mr AP Choudhary CMD of RINL and Mr TK Chand, Director (Commercial) called on Mr Sriprakash Jaiswal in New Delhi.
Mr Choudhary briefed the union minister about the plant’s performance, its growth plan and future expansion program of the Company. Mr Choudhary impressed upon the union minister the need to allot both Coking Coal and Thermal Coal mines to RINL as RINL-VSP is going for massive expansion.
(Sourced from PTI)
Mr Sriprakash Jaiswal minster for coal appreciated the initiatives and efforts of RINL in expanding its capacity from the present 3 million tonne per annum to 6.3 million tonne per annum and also its future expansion program to 20 million tonne per annum.
He lauded the progress and growth of RINL. The Minister assured RINL CMD all possible needful help in the allotment of Coal blocks to the Company as RINL has no captive Coal blocks.
This assurance came from the union minister when Mr AP Choudhary CMD of RINL and Mr TK Chand, Director (Commercial) called on Mr Sriprakash Jaiswal in New Delhi.
Mr Choudhary briefed the union minister about the plant’s performance, its growth plan and future expansion program of the Company. Mr Choudhary impressed upon the union minister the need to allot both Coking Coal and Thermal Coal mines to RINL as RINL-VSP is going for massive expansion.
(Sourced from PTI)
Tuesday, October 18, 2011
NTPC coal reserve norms behind power crisis?
Tue,Oct 18, 2011
By Meetu Jain, CNN-IBN
New Delhi: Coal Minister Sriprakash Jaiswal has said that the coal crisis that threatened a power blackout in the country has been averted and things will get to normal in the next four to five days. It was blamed on blockade in Telangana, rains and a two-day strike in Coal India for the crisis.
But documents with CNN-IBN show that Telangana and flooding were not the real reasons for the recent power crisis. The Electricity Authority data shows that the National Thermal Power Corporation (NTPC) and other power utilities did not maintain adequate coal reserves.
Data shows NTPC kept coal reserves dangerously low at some plants. In October alone, as many as 22 power stations were declared 'super critical', that means coal just to last four days, while 36 power stations were 'critical' - that is coal for less than 15 days.
Last week, angry consumers ransacked offices of power distribution offices in several locations in Maharashtra.
The Coal Ministry and NTPC have blamed it on the weather, on the people (due to Telangana agitation) or even on the Indian Railways.
"It rained like never before. Ten-year-old record of rainfall has been broken," said Sriprakash Jaiswal.
He even blamed the Telangana crisis for the fall in power production.
"There was shortfall since the (Telangana) strike began," said Jaiswal.
But the data from the Central Electricity Authority tell a different story. Coal reserves were kept dangerously low by power utilities like NTPC in the previous year too, when there was no Telangana or Coal India strike.
Consider the figures for just October 3, 2011 and 2010:
In 2011 Badarpur Thermal Power Station had four days of stock instead of 30 days. In 2010 Badarpur was the only power plant that was overstocked - 44 days - against the requirement of 30 days. Possibly this was because of the Commonwealth Games.
Dadri had three days instead of the 30 it's supposed to maintain in October this year. Last year, Dadri had just 11 days against the reserve of 30 days, while Vindhyachal had no stock instead of 15 days. Last year also they had no stock in plant.
The NTPC has not responded to an email query… but power ministry sources told CNN IBN that - NTPC is following CEA norms because they are not allowed to keep coal stock of more than 15 days as CAG questions them for keeping government money blocked. That's a new twist in the tale of the power crisis.
So, did Telangana hit coal supply that badly? The Singareni Collieries even in the agitation month of September met it overall target at 101 per cent, though dispatches to power plants was only 61 per cent.
The other reason put for poor supply of coal is shortage of railways. But a Planning Commission note deflates this theory. The railways has been suggesting that road movement be stopped and railway rakes lying idle should be put to some use.
The Coal Ministry wants NTPC to import coal, but the company said it's not feasible.
In the name of keeping costs under control, the nation has been pushed to the brink of a crippling power crisis, and surprisingly the company in the eye of the story is public sector Navratna NTPC.
(sourced IBNLive)
By Meetu Jain, CNN-IBN
New Delhi: Coal Minister Sriprakash Jaiswal has said that the coal crisis that threatened a power blackout in the country has been averted and things will get to normal in the next four to five days. It was blamed on blockade in Telangana, rains and a two-day strike in Coal India for the crisis.
But documents with CNN-IBN show that Telangana and flooding were not the real reasons for the recent power crisis. The Electricity Authority data shows that the National Thermal Power Corporation (NTPC) and other power utilities did not maintain adequate coal reserves.
Data shows NTPC kept coal reserves dangerously low at some plants. In October alone, as many as 22 power stations were declared 'super critical', that means coal just to last four days, while 36 power stations were 'critical' - that is coal for less than 15 days.
Last week, angry consumers ransacked offices of power distribution offices in several locations in Maharashtra.
The Coal Ministry and NTPC have blamed it on the weather, on the people (due to Telangana agitation) or even on the Indian Railways.
"It rained like never before. Ten-year-old record of rainfall has been broken," said Sriprakash Jaiswal.
He even blamed the Telangana crisis for the fall in power production.
"There was shortfall since the (Telangana) strike began," said Jaiswal.
But the data from the Central Electricity Authority tell a different story. Coal reserves were kept dangerously low by power utilities like NTPC in the previous year too, when there was no Telangana or Coal India strike.
Consider the figures for just October 3, 2011 and 2010:
In 2011 Badarpur Thermal Power Station had four days of stock instead of 30 days. In 2010 Badarpur was the only power plant that was overstocked - 44 days - against the requirement of 30 days. Possibly this was because of the Commonwealth Games.
Dadri had three days instead of the 30 it's supposed to maintain in October this year. Last year, Dadri had just 11 days against the reserve of 30 days, while Vindhyachal had no stock instead of 15 days. Last year also they had no stock in plant.
The NTPC has not responded to an email query… but power ministry sources told CNN IBN that - NTPC is following CEA norms because they are not allowed to keep coal stock of more than 15 days as CAG questions them for keeping government money blocked. That's a new twist in the tale of the power crisis.
So, did Telangana hit coal supply that badly? The Singareni Collieries even in the agitation month of September met it overall target at 101 per cent, though dispatches to power plants was only 61 per cent.
The other reason put for poor supply of coal is shortage of railways. But a Planning Commission note deflates this theory. The railways has been suggesting that road movement be stopped and railway rakes lying idle should be put to some use.
The Coal Ministry wants NTPC to import coal, but the company said it's not feasible.
In the name of keeping costs under control, the nation has been pushed to the brink of a crippling power crisis, and surprisingly the company in the eye of the story is public sector Navratna NTPC.
(sourced IBNLive)
Sunday, August 14, 2011
Indian coal imports up by 8pct MoM in July - Report
Sunday, 14 Aug 2011
According to data from Interocean Group of Companies, Indian companies led by Adani Enterprises Limited, Bhatia International Limited and JSW Energy Limited increased coal imports by 8% MoM in July 2011 from a month earlier.
The New Delhi based ship broker said that power, steel, cement and paper producers purchased 10.8 million tonnes of steam and coking coal last month via 30 Indian ports.
Mr Sriprakash Jaiswal coal minister said that India's domestic coal production may fall short of demand by 142 million tonnes in the financial year ending March 2012. The nation produces 530 million tonnes of coal a year and imports about 67 million tonnes.
Interocean data showed that Paradip port on the east coast received the most coal shipments in July 2011, totaling 1.52 million tonnes. Visakhapatnam, Gangavaram and Krishnapatnam, all on the east coast, received 978,221 tonnes, 877,882 tonnes and 755,438 tonnes of the fuel, respectively.
The monsoon from June to September 2011 can slow coal imports on the west coast and divert shipments to ports in the east.
Most imports came from Indonesia, Australia and South Africa. State-owned Steel Authority of India Limited bought two shipments while Rashtriya Ispat Nigam Limited and Shree Cement Limited received one shipment each from the US.
(sourced Bloomberg)
The New Delhi based ship broker said that power, steel, cement and paper producers purchased 10.8 million tonnes of steam and coking coal last month via 30 Indian ports.
Mr Sriprakash Jaiswal coal minister said that India's domestic coal production may fall short of demand by 142 million tonnes in the financial year ending March 2012. The nation produces 530 million tonnes of coal a year and imports about 67 million tonnes.
Interocean data showed that Paradip port on the east coast received the most coal shipments in July 2011, totaling 1.52 million tonnes. Visakhapatnam, Gangavaram and Krishnapatnam, all on the east coast, received 978,221 tonnes, 877,882 tonnes and 755,438 tonnes of the fuel, respectively.
The monsoon from June to September 2011 can slow coal imports on the west coast and divert shipments to ports in the east.
Most imports came from Indonesia, Australia and South Africa. State-owned Steel Authority of India Limited bought two shipments while Rashtriya Ispat Nigam Limited and Shree Cement Limited received one shipment each from the US.
Wednesday, August 3, 2011
Govt reviewing coal distribution policy, says Jaiswal
Wed,Aug03,2011 Source:PTI
In view of growing demand-supply mismatch, government is reviewing the current coal distribution policy to ensure that priority sectors get adequate fuel.
Replying to a question on whether power companies are facing shortage of coal, Coal Minister Sriprakash Jaiswal said in the Lok Sabha that coal production has not increased in line with the demand.
There are various reasons for this, he said, adding that coal producing states are facing different problems like law and order and naxalism.
The government has been providing linkages to coal blocks for development of power projects.
State owned Coal India Limited (CIL) has not been able to meet the demand and has requested the ministry to review the coal distribution policy, Jaiswal said, adding, "We are looking into it."
He, however, said that CIL has been dispatching coal as per targets fixed in the supply plan finalised as part of the annual plan. During the last three years, dispatches to power utilities have been 102%, 96% and 91% of the targets respectively.
In the current year up to June 2011, dispatch is 94% of the target.
"Dispatches could have been better but for the frequent law and order problems... constraints of wagon availability in comparison to indents in certain coal fields in the 3rd and 4th quarter of the previous year," he said.
Jaiswal, however, said that there was no shortage of coal at the power stations. The coal stock with power stations has increased from 11.63 million tonnes in July 2010 to 13.415 million tonnes in July 2011.
Coal is under Open General License (OGL) and the power utilities import coal themselves to meet their requirements, he said.
In view of growing demand-supply mismatch, government is reviewing the current coal distribution policy to ensure that priority sectors get adequate fuel.
Replying to a question on whether power companies are facing shortage of coal, Coal Minister Sriprakash Jaiswal said in the Lok Sabha that coal production has not increased in line with the demand.
There are various reasons for this, he said, adding that coal producing states are facing different problems like law and order and naxalism.
The government has been providing linkages to coal blocks for development of power projects.
State owned Coal India Limited (CIL) has not been able to meet the demand and has requested the ministry to review the coal distribution policy, Jaiswal said, adding, "We are looking into it."
He, however, said that CIL has been dispatching coal as per targets fixed in the supply plan finalised as part of the annual plan. During the last three years, dispatches to power utilities have been 102%, 96% and 91% of the targets respectively.
In the current year up to June 2011, dispatch is 94% of the target.
"Dispatches could have been better but for the frequent law and order problems... constraints of wagon availability in comparison to indents in certain coal fields in the 3rd and 4th quarter of the previous year," he said.
Jaiswal, however, said that there was no shortage of coal at the power stations. The coal stock with power stations has increased from 11.63 million tonnes in July 2010 to 13.415 million tonnes in July 2011.
Coal is under Open General License (OGL) and the power utilities import coal themselves to meet their requirements, he said.
Wednesday, March 9, 2011
India to face huge coal shortage by 2021-22
New Delhi, Mar09, 2011
The Government today admitted that the country will face a huge shortfall of 269 million tonnes of coal by 2021-22 as the coal producing entities have failed to keep pace with the demand as well as economic growth.
“In the last 8-10 years, the economy grew at a much faster pace compared to coal production even as the Coal India Ltd registered a growth of 7-8 per cent. We are trying to adopt different technologies which are more efficient in coal usage to meet the demand,” the Coal Minister, Mr Sriprakash Jaiswal, said in the Lok Sabha during Question Hour.
According to estimates, demand for coal in 2021-22 is projected at 1,353 mt against the production assessment at 1,084 mt, leaving a shortfall of 269 mt.
“In view of the widening demand-supply gap of coal, the country is unlikely to become self-reliant in meeting the demand of coal indigenously in the near future,” Mr Jaiswal said.
He also informed the House that several states were allocated coal blocks more than five years ago but
they are yet to begin production.
Chhattisgarh was allocated nine coal blocks more than five years ago, Maharashtra was given seven blocks and Madhya Pradesh 10 blocks, he said adding that unfortunately production has not begun at any of these blocks.
Replying to a supplementary on whether irregularities in allocation of coal blocks have come to the notice of the Government, Mr Jaiswal replied in negative. He also said that now coal blocks are allotted only through competitive bidding and there was no possibility of any wrongdoing.
In view of India producing only 10 per cent of good quality coal, it has been placed under Open General Licence scheme so that industries such as sponge iron, steel and power producers could import good coal according to their demand.
Thursday, March 3, 2011
Indian coking coal needs may go up by 22pct next fiscal - Mr Jaiswal
Thursday, 03 Mar 2011
According to Indian coal minister Mr Sriprakash Jaiswal, India's coking coal requirements could increase by nearly 22% to 85.34 million tonnes in the next fiscal
Mr Jaiswal said that “Coking coal requirement for steel production is expected to be 85.34 million tonnes in 2011-12, as steel production is dependent on coking coal.”
Mr Jaiswal added that “Coal demand from the domestic cement industry also looks bright and it is expected that coal need would rise steadily during 2011-12.”
The domestic steel industry is expected to use about 70 million tonnes of coking coal in the current financial year ending Mar 31. The country is likely to produce about 65 million tonnes of steel in the current financial year. India meets about 70% if its coking coal needs through imports from countries including Australia, Indonesia and the US. The Minister said that thermal coal requirements for power utilities, too, would grow at 10% during the next financial year. (By TheHindu)
Tags : Australia, Indonesia, U.S., thermal coal, power plants
Mr Jaiswal said that “Coking coal requirement for steel production is expected to be 85.34 million tonnes in 2011-12, as steel production is dependent on coking coal.”
Mr Jaiswal added that “Coal demand from the domestic cement industry also looks bright and it is expected that coal need would rise steadily during 2011-12.”
The domestic steel industry is expected to use about 70 million tonnes of coking coal in the current financial year ending Mar 31. The country is likely to produce about 65 million tonnes of steel in the current financial year. India meets about 70% if its coking coal needs through imports from countries including Australia, Indonesia and the US. The Minister said that thermal coal requirements for power utilities, too, would grow at 10% during the next financial year. (By TheHindu)
Tags : Australia, Indonesia, U.S., thermal coal, power plants
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