Coal India plans to invest Rs 1.43 lakh crore in 26 projects in new business areas. The new business areas will include solar wafer manufacturing, a greenfield aluminium project along with brownfield aluminium projects in a joint venture with NALCO, solar generation projects, and thermal power plants.
CNBC-TV18 reported that the company has received approvals from NITI Aayog and Department of Investment and Public Asset Management (DIPAM) for the solar water manufacturing and greenfield aluminium projects. The company has already prepared a draft market assessment report and plans for a special purpose vehicle (SPV) to float tender for the JV by Q2 of FY22.
The company plans to incorporate SPV where it will seek private partners and bid will be on the lines of the UMPP (Ultra mega power project) model where CIL will retain a 26 per cent equity stake for both 10 GW solar manufacturing and 1 million tonnes per annum (MTPA) aluminium refinery and 0.5 MTPA smelter proposed for the aluminium greenfield project.
A sum of Rs 26,000 crore is proposed for solar water manufacturing and Rs 38,000 crore for aluminium smelting greenfield project by Coal India.
It also plans to participate in the solar energy corporation of India’s (SECI) for solar power generation projects in a JV with Neyveli Lignite Corporation once it gets approval. Coal India with Neyveli lignite plans to commission thermal power projects of over 8,500 MW capacity which are expected to be commissioned between FY22-28 in Odisha, Madhya Pradesh, Jharkhand, Uttar Pradesh, and Tamil Nadu.
The company also plans to invest Rs 38,000 crore in clean coal technologies. It is expected that CIL may float tender for 4 coal gasification projects in May this year. Along with coal gasification, the company intends to float tender for 3 coal bed methane projects and 3 coal washeries in the first quarter of FY22. Coal India has a target of investment of Rs 2.69 lakh crore spanning from clean coal technologies, and coal mining with a focus on 50 per cent of Investment in new business areas.