Coal India to Invest over Rs 1.22 Lakh Crore by 2023-24
Ranchi: Coal India Limited (CIL) will invest over Rs 1.22 lakh crore on about 500 projects related to coal evacuation, infrastructure, project development, exploration and clean coal technologies in a bid to achieve 1 billion tonnes (BT) coal production by FY 23-24 and make the nation Aatmanirbhar in Coal.
Union Minister of Coal and Mines Pralhad Joshi said on Tuesday while addressing a Stakeholders Meet organized by CIL through video conferencing.
CIL has planned to invest Rs 32,696 crore in Coal Evacuation, Rs 25,117 crore in Mine Infrastructure, Rs 29,461 crore in Project Development, Rs 32,199 in Diversification & Clean Coal Technology, Rs 1,495 crores in Social Infrastructure and Rs 1,893 crores in Exploration Works by FY 2023-24 out of the proposed spending of over Rs 1.22 lakh crore, said Joshi.
Addressing the stakeholders, the Minister said avenues with Coal India are huge for business opportunities. For its 49 First Mile Connectivity projects, the company would invest around Rs. 14200 Crores by FY 23-24, in two phases. First Mile Connectivity is coal transport from pitheads to dispatch points. This is done to bring improved efficiency in transporting coal and loading aided by computers to replace existing road transport between the two points, he said.
Similarly, in a transformative plan to increase coal output and reduce coal import dependency in the years that followed, Coal India identified a total of 15 greenfield projects to operate through MDO mode that would involve a total investment plan of around Rs 34,600 crore, of which investment likely ending FY 24 is around Rs 17,000.
Another major area where Coal India will infuse large sums of money into the economy is the evacuation infrastructure. Investments in rail logistics such as the development of major railways (about Rs 13,000 crore), railway sidings (about Rs 3,100 crore) and the procurement of own wagons (Rs 675 crore) would total up to a probable investment of more than Rs 16,500 crore by FY 2023-24.
“Coal India and its subsidiaries are engaged in the procurement of different types of goods, works and services amounting to around Rs 30,000 crore per year. That’s where stakeholder role and importance steps in,” he said.
“In its effort to procure goods, works and services in a fair, transparent and fair manner, Coal India has made numerous updates, changes to its manuals and guidelines for the benefit of vendors and stakeholders to enhance the ‘facility of doing business’ and adherence to the principles of transparency,” added the Minister.
Secretary (Coal) Anil Kumar Jain, CMD CIL Pramod Agarwal, as well as other senior Coal Ministry and CIL officials, attended the meeting and interacted with stakeholders.
Coal India has relaxed an array of measures in stakeholder-friendly initiatives and provided exemptions for greater stakeholder involvement in its tenders.
Experience criteria for mining tenders have been brought from 65 per cent to 50 per cent, while work experience criteria in turnkey contracts are relaxed by 50 per cent. The requirement to participate in low-value Works & Service Tenders for pre-qualification has now been eliminated.
MSEs and start-ups shall be exempted from previous experience and turnover. No EMD requirement for MSEs and Start-ups. Provisions for making-in-India fully integrated into all tenders.