CIL approves 32 mining projects involving incremental investment of Rs 47,000 crore

Coal India (CIL) has approved a record 32 mining projects this fiscal at an investment of Rs 47,300 crore. While 24 of the 32 are expansion of the existing projects, eight are new greenfield projects. Combined peak capacity of these projects is projected at 193 million tonnes a year. This will be in addition to the sanctioned capacity of 303.5 million tonnes (mtpa) a year.

Coal India chairman Pramod Agrawal in an interview last week told ET that the company will not start new coal mines which require handing out large scale employment against land acquisition. “Presently, we have to give employment to one labour per two acres acquired. In the past year, we have done tenders for a lot of high-end equipment and these equipment wherever we have installed, the productivity has increased tremendously. We are closing down mines which are not efficient,” he said. CIL board and boards of the respective subsidiary companies have given their nod for the move, a company official said.

Incremental production by FY24 from the 32 projects would be to the tune of around 81 million tonnes a year. “Such high number, either in terms of projects or capacity addition, has not been cleared in a single financial year so far,” said a senior company official.


Of the 193 million tonnes capacity of the 32 projects, the three subsidiaries of CIL— South Eastern Coalfields (SECL), Central Coalfields (CCL) and Mahanadi Coalfields (MCL)—at 167 million tonnes a year, form the bulk at 86.5%. SECL with six projects at an investment of Rs 18,657 crore accounts for 63.5 mt per annum followed by CCL at an investment of Rs 7,520 crore for 10 projects of 56.6 million tonnes a year. MCL with three project would add up to 47 MT per year at an investment of Rs 14,057 crore.