Pandemic affected Coal India revenue by Rs 6,054 crore; Coal Production from captive mines likely to hit 120 million tonnes by next fiscal

The negative impact of COVID-19 on the revenue of Coal India Limited is of Rs 6,054.33 crore and on Singareni Collieries Company Ltd (SCCL) is of Rs 5,921 crore, Parliament was informed. “Coal production was impacted due to COVID-19,” Coal Minister Pralhad Joshi said in a reply to the Lok Sabha.

To support the industry, measures like abolition of performance incentive from consumers, reduction in reserve price in case of sales under e-auction and fetching of lower e-auction premium were initiated. Besides, relaxation was granted to coal blocks allocated during COVID-19 pandemic, he said.

“For the first wave of COVID-19 in 2020 – for operational coal mines 3+1 (extra 1 month from Underground mine) relaxation granted and production schedule to be adjusted on pro-rata basis with effect from April 1, 2020. For non-operational coal mines, 3 months relaxation was granted with effect from April 1, 2020,” he said.

For second wave of COVID-19 in 2021 three months relaxation was granted to both operational and non-operational coal mine w.e.f. April 1, 2021.

The Ministry of Coal further announced that coal production from captive mines during this year till November has already reached around 50 million tonnes and it is very likely to touch 85 million tonnes during the current financial year ( 2021-22) which is significantly higher than last year achievement of 62 million tonnes.

To further enhance coal production the Secretary, Ministry of Coal Dr Anil Kumar Jain reviewed the issues related to Environment and Forest Clearances impacting the development of new coal blocks, with senior officers of the Ministry given the high demand for domestic coal. The ministry said that coal production from captive mines is expected to reach 120 million tonnes during the next financial year (2022-23).

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