NEW DELHI: To improve the efficiency of coal transport in the country, the government will implement 14 rail infrastructure projects worth Rs 22,067 crore.
With the start of the project, the government plans to increase the coal removal capacity to 410 MTPA. These projects will cover 2,680 km across Jharkhand, Odisha and Chhattisgarh.
âCurrently, Coal India Limited (CIL) incurs approximately Rs 3,400 crore on the cost of transporting coal. In addition, large amounts of coal are transported by road, which often leads to accidents when passing through rural areas due to the narrow and poorly maintained road structures. To avoid these obstacles, the government has planned to invest in alternative modes of transport, namely: rail, inland waterways, cabotage, etc. “, Said the Ministry of Coal in a press release.
Coal is the backbone of India’s energy sector and covers over 50% of the total power generation capacity. According to the Ministry of Coal, the project will make transporting coal from point of production to point of consumption a hassle-free process.
âThe amount of investment to be injected by Coal India for first mile connectivity projects is estimated at Rs 14,200 crore by 2023-24, in two phases for its 49 CMF projects. To further increase the transport of coal, CIL has placed a rapid loading system (RLS) in 19 CIL mines, âthe ministry said. Currently, CIL is constructing 21 additional sidings for an estimated investment of 3,370 crore.