New coal transport plan to reduce congestion, costs

New Delhi: The government on Thursday announced a logistics plan aimed at transport of coal through network optimisation that focuses on enhancing first-mile connectivity and encouraging the rail-sea-rail route to bring down the congestion and cost of transport. The plan entails mechanised loading and evacuation of 90% of coal produced through first-mile connectivity by 2029-30. It also targets the completion of coal public sector undertakings-funded rail connectivity projects by 2026-27.

The coal logistics plan proposes a strategic shift towards a railway-based system in first-mile connectivity projects, aiming for a 14% reduction in rail logistic costs and an annual cost saving of ₹21,000 crore. Coal minister Pralhad Joshi underscored the imperative need for efficient logistics to meet the escalating energy demand, which is projected to surge to 1.5 billion tonnes by 2030 from 980 million tonnes.