Indian coal industry -challenges and performance

Permit me to be little descriptive। Coal mines were earlier privately held।Later these were nationalised to put them under coal india ltd a large psu to increase and regulate production of various types and grades।

India produces 800 million tons annually of which 48 million tons is lignite coal।

We have to import coaking quality coal like, from Australia।

Talcher orissa has largest power grade coal deposits in country।

Transportation of coal has also been a headache and to supply to power plants 60 wagon jumbo rakes have been used ।

Automation and productivity and worker safety is most important।

With time india setup advanced machinery।

Coal mines at most places have water seepage threats।

These mines can be open,  or closed with workers going under through a shaft and elevator।

Being combustible item, it is dangerous industry।

Thousands have died under soil by collapse, fire or flooding।

Indian coal is having  high ash content।not good for boilers and coaking coal quality।coal washeries were added slowly।

It is very tough industry।not joke।

Later trade unionism made it suffer but CIL made workers life better।India has to import coaking coal and low ash coal to meet demand।

Hence solutions depends upon site to site।

Normally mines were just allotted earlier।Then auction process was brought।Still takers are few।auction process means large operator grab property by over bidding।Too high auction rates and several taxes by hungry governments has risen costs in economy।

So finally under privatisation drive governments again resorted to privatisation to increase productivity and bring in private capital।The allotments were challenged in supremecourt delaying expansion।Coal commissioner overseas these problems।

Demand has gone down ।With solar and hydel power as also nuclear।still coal is needed in million tons and production is growing।CIL performance has fallen।

Productivity, technology, ash removal logistics , stopping thefts and workers safety all are needed by joint efforts of state and industry।

We now want to reduce carbon foot print। So coal fell out of fashion now।

Like coal , fertilisers are also imported ।

It is a slow process to develop industry।

Many coal deposits cover tribal belts and forests।That is another problem।How to mine minerals।This led to rise in extremism and so called naxalites।

This practice of selling licences to use cost free natures resources only raises prices in economy and 60% become more poor।

Auction is like let the richest loot।Telecom ban widths coal minerals sand rocks everything।

Where all this money goes ? Ayyashi of politicians and babus 

Hence it is big topic।cant be covered here fully and properly।

Questions can be asked in comment box