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oal plays an important role in meeting global energy needs and ties of coal are also produced by TISCO, IISCO, DVC and others. SCCL
3
is critical to infrastructure development. Coal meets around production of coal during 2018-19 was 64.4 MT (Provisional) .
C27% of global primary energy needs and generates around Coal India has taken steps towards India’s energy security by en-
38.5% of the world’s electricity. Not only does coal provide electric- hancing drilling, production and off take of coal. To boost the pow-
ity, it is also an essential fuel for steel and cement production, and er sector, superior coal quality has been ensured with steps such as
other industrial activities. 71% of world’s steel is produced using coal. third party sampling procedures and 100% crushed coal to power
Globally, proven coal reserves are estimated more than 1 tn tonnes. plants. There are 117 ongoing mining projects costing INR 20 crore
Coal reserves are available in almost every country worldwide, with (USD 2.8 mn) and above under implementation in CIL.
recoverable reserves in around 70 countries . The major chunk of
1
coal reserves are in USA, Russia, Australia, China and India. India has Coal Imports
the fifth largest coal reserves in the world. As per GSI (Geological Sur-
vey of India), geological resources of coal in India are 319.02 bn tones Import of coal has steadily increased from 59.00 MTs during 2008-
st
(as on 31 March 2018) . 09 to 235.24 MTs during 2018-19. Coking Coal is being imported by
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The Indian coal deposits are primarily concentrated in eastern Steel Authority of India Limited (SAIL) and other Steel manufacturing
and south central parts of the country. They are chiefly located in units, mainly to bridge the gap between the requirement and indige-
states of Jharkhand, Odisha, Chhattisgarh, West Bengal, Madhya nous availability and to improve the quality. Coal based power plants,
Pradesh, Telangana and Maharashtra. The coal is of bituminous to cement plants, captive power plants, sponge iron plants, industrial
sub-bituminous rank and is restricted to the sediments of Permian consumers and coal traders are importing non-coking coal. Coke is
age. Of the total resources, the major part is Non-coking coal and bal- imported mainly by Pig-Iron manufacturers and Iron & Steel sector
ance is Coking coal (Prime, Medium and Semi Coking). The commer- consumers using mini-blast furnace. Details of import of coal and
cial coal in the country is mainly consumed by the power, steel and products i.e. coke during the last six years is as under:
cement sector.
st
Lignite reserves in India are estimated as 45.7 BT (as on 1 April 2014- 2018-
2018) occurring in the tertiary sediments in the southern and western Coal 2013-14 15 2015-16 2016-17 2017-18 19*
parts of peninsular India, particularly in Tamil Nadu Rajasthan, Guja- (Prov.)
rat, Puducherry, Kerala, and Jammu & Kashmir. Coking Coal 36.87 43.72 44.56 41.64 47.00 51.84
Non-Coking 129.99 174.07 159.39 149.31 161.27 183.40
Current Scenario Coal
total Coal 166.86 217.78 203.95 190.95 208.27 235.24
Coal is the most important and abundant fossil fuel in India. Approx- Import
imately 7% of the world’s proven coal reserves are located in India Coke 4.17 3.29 3.07 4.35 4.58 4.93
and it accounts for 45% of the country’s energy demand. Out of total
* Import upto april-March, 2018-2019
electricity produced in India, more than 80% is produced from coal.
Coal production in the country during the year 2018-19 was 730.3
MTs (Provisional) as compared to 675.4 MTs in 2017-18, registering Coal Linkage Policy: Coal linkage policy is a Central government
a growth 8.1%. The Lignite production during 2017-18 was 46.26 mn designed guidelines for the allocation of coal among thermal power
tonnes which is 2.27% higher than the production during 2016-17 firms. The policy aims at designing a methodology for coal linkage.
(45.23 mn tonnes). States who have assigned coal should follow these guidelines while
Coal India Limited (CIL), which provides about 85% of India’s do- allocating the assigned coal among their own generating stations,
mestic production of coal, is the world’s largest coal mining company. other state generating stations, Central Government Stations and In-
CIL production of coal during 2018-19 was 606.9 MT (Provisional) with dependent Power Plants (IPPs, mostly private).
a growth of 7.0%. Singareni Collieries Company Limited (SCCL) is the Under this policy, a state’s coal requirement would be clubbed and
main source for supply of coal to the southern region. Small quanti- assigned to the respective state or state-nominated agencies. Coal

48 shaping new energy dimensions