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Coal India advances target for one billion tonnes production by two years to 2024

KOLKATA: Coal India has decided to advance its target year for achieving an annual production capacity of one billion tonnes by two years -- 2024.

The company was earlier planning to achieve the target by 2019-20. However, lack of adequate demand and a plethora of issues with respect to raising production levels had forced the company to push back the deadline to 2025-26.

Minister of Coal & Mines, Pralhad Joshi on Friday said state-run Coal India will produce one billion tonnes coal by 2023-24 and the company has to produce 750 million tonnes in the next fiscal. This year its production target is 660 million tonnes which, analysts believe, may not be achieved due to a series of issues.

The minister was addressing employees at the 45th Coal India Foundation Day.

He also said the company will offer around eight thousand jobs in the near future to boost the employment and directed Coal India to take necessary steps to achieve these goals in light of growing energy requirements of the nation and assured all possible support from the government and ministry of coal to achieve these goals.

“Power demand is rising so fast and steeply that there is enough opportunity for both government and private sectors to produce coal without adversely impacting each other. Referring, the central government’s recent decision of 100% foreign direct investment under automatic route in coal, as one of the much-needed structural reforms in the sector, he said the decision will minimize the volume of coal import that is denting the government exchequer and will help the nation get much amount of coal.

“He made it very clear that FDI in coal does not stand for FDI in Coal India and the government wants to strengthen Coal India,” a statement issued by coal ministry mentioned. Moreover, he said, due to foreign direct investment, there is scope for mutual learning as foreign companies – apart from providing appointment – will bring advanced coal mining technology and modern planning and management practices, which Coal India can imbibe. These companies on the other hand can learn about local conditions and the handling of various issues from Indian coal companies. Hence, the fear of domestic players and labour unions are misplaced.

He also urged Coal India to get associated with central government’s Jal Shakti Abhiyan to conserve water and provide treated mine water to the populace living in and around coal mining areas. On the Prime Minister’s call for eradication of Tuberculosis (TB) from India by 2025, the minister appealed Coal India to eradicate TB in and around coal mining areas in 08 states of the country by 2024 under its Corporate Social Responsibility (CSR) programs.