Report on Import of Coal and Self-Sufficiency
Recently, the Parliamentary Standing Committee on Coal, Mines and Steel has come out with a report titled ‘Import of Coal – Trends and Issues of Self-Reliance’.
Import Trends
- Coal imports have increased gradually. It has increased from 43 Million Tonnes (MT) in the year 2006-07 to 215 MT in the year 2020-21.
- Coal is being imported to meet the growing demand of coal. The total demand of coal in the country in the year 2021-22 was 1027 MT.
Self-sufficiency issues
- The supply of high quality coal / coking coal is limited.
- Freight and port management fees are very high.
- Indian companies are not acquiring coal blocks abroad.
- The private sector is lagging behind in adopting new technologies.
Major steps taken
Initiatives to reduce coal imports:
- An inter-ministerial committee has been constituted to encourage the concerned sectors to stop the import of coal.
- Coal importers have to register in the Coal Import Management System.
- Improvement in quality of coal supplied: Blastless mining technology will be adopted.
- To reduce the cost of coal: The use of man and machine is being improved, technology is being improved, emphasis is being given to reduce the expenditure on non-essential items etc.
Major recommendations of the parliamentary committee
- More coal washeries should be set up to reduce the dependence on imported coking coal.
- Mining operations should be started in newly discovered / developed sites only after necessary environmental and forest clearances.
- More mines should be auctioned on the basis of revenue sharing.
- Mechanization of mines should be promoted by adopting new techniques.
- Foreign coal blocks should be acquired.
Coal:
- It is the most abundant fossil fuel. It is used as domestic fuel in industries like iron, steel, steam engines and to generate electricity.
- The electricity generated from coal is called ‘Thermal Power’.
- The coal we use today was formed millions of years ago, when giant ferns and bogs were buried under layers of earth. That’s why coal is called Buried Sunshine.
- The world’s major coal producers include China, the US, Australia, Indonesia, and India.
- Coal producing regions of India include Raniganj, Jharia, Dhanbad and Bokaro in Jharkhand.
- Coal is also classified into four ranks: anthracite, bituminous, subbituminous, and lignite. This ranking depends on the type and amount of carbon present in the coal and the amount of heat energy of the coal.
Source – Live Mint