72 First Mile Connectivity Coal projects commissioned under integrated plan
New Delhi, July 20
Out of 139 First Mile Connectivity projects undertaken by the government, 72 projects with a cumulative capacity of about 589 MTPA have been commissioned, while the remaining 67 projects are at various stages of implementation, tendering and planning. The initiatives aim to establish a total capacity of 1,319 million tonnes per annum by FY 2029-30, according to the Ministry of Coal.
The details were presented by Union Minister of State for Coal and Mines Satish Chandra Dubey in a written reply in the Rajya Sabha today.
"Ministry of Coal, in collaboration with the Ministry of Railways, the Ministry of Power and the Ministry of Road & Transport & Ports, launched an Integrated Coal Logistics Plan," the Ministry stated in a statement.
"This plan aims to develop a technology-enabled, cost-effective, resilient logistics ecosystem to improve multimodal transportation and reduce the overall cost of coal delivered to end consumers," the release added.
Under the Coal Logistics Plan and Policy, 2030, progress is being made toward FY 2029-30 targets. Out of eight designated railway projects for coal evacuation, five have been commissioned, and the remaining three are scheduled for commissioning by FY 2028.
Additionally, the Ministry of Coal identified 33 critical projects that were taken up by the Ministry of Railways for future coal evacuation.
The official response outlined key challenges faced during the movement of coal. "The major bottlenecks identified in the evacuation of coal from pitheads to end-use destinations include: (i) inadequate rail capacity and congestion on certain high-density routes; (ii) Delays in sanction, land acquisition, forest and environmental clearances and execution of railway projects," the release noted.
The release further stated, "(iii) operational constraints relating to availability, placement and turnaround of railway rakes; (iv) road congestion and environmental concerns associated with coal transportation through trucks; and (v) constraints in developing alternate modes such as rail-sea-rail, inland waterways and coastal shipping, including availability of suitable terminals and last-mile connectivity."
To address these hurdles, the Ministry of Coal regularly reviews critical railway and FMC projects with the Ministry of Railways, coal companies, state governments, and other concerned agencies.
Strategy objectives under the integrated plan include increasing the share of coal transportation through railways to 75 per cent by FY 2030 to lower dependence on road movement, as well as promoting coastal shipping and inland waterways. To facilitate Rail-Sea-Rail (RSR) movement, Coal India Limited reduced the Performance Incentive for coal supplies beyond Annual Contract Quantity from 40 per cent to 20 per cent.
"These initiatives have contributed to augmentation of coal evacuation capacity, improvement in loading efficiency and more reliable movement of coal from mines to consumers," the release mentioned.
"Expansion of rail connectivity and close coordination among the Ministry of Coal, Ministry of Railways, coal companies and power sector stakeholders have facilitated sustained coal dispatch and timely supply to power plants and other consuming sectors," it added.
— ANI
Reader Comments
Interesting move from India. As someone who works in logistics, the rail-sea-rail concept is actually quite innovative. Though 67 projects still pending - hope the government keeps the momentum going and doesn't get bogged down in bureaucracy.
Good to see coordinated efforts between ministries. But what about the environmental clearance delays mentioned? These are real issues. Also curious - will this reduce coal prices for industries? Hope the benefits reach the common man too.
Impressive scale - 1,319 MTPA target! The integrated logistics plan sounds comprehensive. But I worry about the environmental impact of all this coal movement. Are there sufficient measures to minimize dust pollution and carbon emissions?
As someone living near a coal mining region, this is welcome news. Better evacuation means less coal lying around and fewer health issues. But please ensure local communities are compensated properly during land acquisition. We've seen too many displacement issues.
This is good progress but let's not forget the bigger picture. While improving coal logistics, India must also accelerate its renewable energy transition. A balanced approach with clear timelines for phasing down coal would be ideal.
Interesting data point. The reduction in Performance Incentive from
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