CIL blames delay in clearances for inability to boost production
KOLKATA (miningweekly.com) – Indian major Coal India Limited (CIL) has 241 mining projects awaiting mandatory forest and environmental clearances, the miner said, in response to criticisms that it was not moving swiftly enough to increase production.
In an internal document, CIL said that to date, 48 projects that could contribute an additional 109-million tonnes a year of coal, were still awaiting environmental clearances from relevant Ministries, while another 193 projects were awaiting forest clearances.
During India’s eleventh Five Year Plan (2007/12), the miner was granted forest clearances for 56 projects covering 7 096 ha of land, and during 2012/13, these project contributed an additional 77.5-million tonnes of coal.
During the same five-year period, CIL had been granted environmental clearances for 122 projects, which would have the capacity to add another 207-million tonnes a year of coal once all these projects were completed, the document said.
In the current twelfth Five Year Plan (2012/17), CIL has firmed up 126 projects to be completed in the terminal year of the period (2016/17) and these projects were expected to add 438-million tonnes a year of additional coal to the company’s total production.
In the first phase, 78 expansion projects had been sanctioned by CIL, which would entail an investment of about $380-million, adding 12-million tonnes a year of coal to the miner’s a yearly production.
CIL, accounting for over 80% of domestic supply of coal, achieved a production of 452-million tonnes during 2012/13, missing its internal target of 464-million tonnes. In August the mine produced 31.68-million tonnes against its monthly target of 33-million tonnes.
Officials said that the miner’s inability should be viewed against it being hamstrung in expediting greenfield and brownfield expansion projects in the face of years of delays in securing various clearances from the Forest and Environment Ministry.
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