NEW DELHI: To enhance coal transportation efficiency in the country, the government will implement 14 railway infrastructure projects worth Rs 22,067 crore.
With the commencement of the project, the government expects to augment the coal evacuation capacity to 410 MTPA. These projects will cover 2,680 km across Jharkhand, Odisha and Chhattisgarh.
“Presently, Coal India Limited (CIL) incurs about Rs 3,400 crore on transportation charges of coal. Also, large volumes of coal are transported via road, which many a times lead to accidents while passing through rural areas because of narrow and poorly maintained road structures. To avert these hindrances, the government has projected to invest in alternative modes of transport, viz: rail, inland waterways, coastal shipping etc,” said the ministry of coal in a press statement.
Coal is the mainstay of the Indian energy sector catering to more than 50% of the total energy generation capacity mix. As per the coal ministry, the project will make the transportation of coal from point of production to the point of consumption a hassle-free process.
“The investment amount to be infused by Coal India for the first-mile connectivity projects is estimated at Rs 14,200 crore by FY 2023-24, in two phases for its 49 FMC projects. To further increase the transportation of coal, CIL has placed Rapid Loading System (RLS) in 19 mines of CIL,” said the ministry. Right now, CIL is constructing 21 additional railway sidings at an estimated investment of `3,370 crore.