The Coal Ministry said on Friday it had taken various measures, including shifting production from captive coal mines, to increase fuel supplies to the energy sector.
The development is gaining importance in the wake of the country’s power plants grappling with coal shortages.
“The Coal Ministry has made all efforts to increase the supply of coal to the electricity sector and has decided to divert and increase supplies to the power sector from captive coal blocks,” the Coal Ministry said in a statement.
Captive mines are those that produce coal or minerals for the exclusive use of the block-owning company.
The ministry has offered to supply coal from Indian NLC’s Talabira II & III mines in Odisha to NTPC.
In this regard, both companies have worked together to start the supply of coal from the Talabira II & III open cast project (OCP) to NTPC (Darlipali & Lara Power Plants).
With timely support and necessary permits for coal delivery from Mines Department, Odisha Province, coal delivery to Darleepali Power Plant, within 24 hours of Coal Ministry directives, has commenced.
NLC India Limited, a Navratna company under the administrative control of the Ministry of Coal, operates the Talabira II and III coal mines with an annual capacity of 20 million tons in Odisha.
Talabira II & III OCP started production from the 2020-21 fiscal year.
State-owned NLC India said this week that it is making efforts to increase coal production from one of its mines in Odisha to as much as 10 million tons annually this year.
The company aims to increase coal production to up to 20 million tons per year (MTPA) from next year onwards, according to a regulatory filing.
NLC India said it has taken steps to achieve the goal of six MTPAs, from its original schedule of four MTPAs during the current year. Due to the rising demand for coal, the company is making all-out efforts to increase coal production at the Talabira mine to 10 million tons per year for the current year and up to 20 million tons per year from next year onwards.
This will not only provide fuel security for end-use plants, but will also save coal in the market, she added.
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