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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) .                                                                                                                 Coal Mines (Special
                                                                                                                                                               Shakti: Power
             C27% of global primary energy needs and generates around          Coal India has taken steps towards India’s energy security by en-                                                                                                                Provisions) Act,
                                                                                                                                                               Sector Linkage
             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-                                                                                                      2015
                                                                                                                                                               Policy
             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                                                                                                      transparent allocation
             other industrial activities. 71% of world’s steel is produced using coal.    third party sampling procedures and 100% crushed coal to power       Coal linkage through                                                                             of coal blocks through
               Globally, proven coal reserves are estimated more than 1 tn tonnes.   plants. There are 117 ongoing mining projects costing INR 20 crore        transparent auctions                                                                             e-auction
             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-
             (as on 31  March 2018) .                                        09 to 235.24 MTs during 2018-19. Coking Coal is being imported by
                    st
                                2
               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                                                             Policy
             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                                                           initiatives
             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.                                                                                                                                                                                         and
                                                                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.)                                                                          RefoRm
             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                                                                                                                           measuRes
                                                                             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            Linkage Policy                                                                                   Coal Production by
             tonnes  which  is  2.27%  higher  than  the  production  during  2016-17   firms. The policy aims at designing a methodology for coal linkage.    Non-Regulated                                                                                    CPSEs
                                                                                                                                                               Sector
             (45.23 mn tonnes).                                              States who have assigned coal should follow these guidelines while                                                                                                                 Sustained increase in
               Coal India Limited (CIL), which provides about 85% of India’s do-  allocating the assigned coal among their own generating stations,            transparent allocation                                                                           production has led to
             mestic production of coal, is the world’s largest coal mining company.   other state generating stations, Central Government Stations and In-     through e-auction to                                                                             fuel reliability and lesser
             CIL production of coal during 2018-19 was 606.9 MT (Provisional) with   dependent Power Plants (IPPs, mostly private).                            cement and steel sectors                                                                         imports
             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


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