72 First Mile Connectivity Coal projects commissioned under integrated plan

New Delhi [India], July 20 (ANI): Out of 139 First Mile Connectivity (FMC) projects undertaken by the government, 72 projects with a cumulative capacity of about 589 MTPA have been commissioned, while the remaining 67 projects are at various stages of implementation, tendering and planning. The initiatives aim to establish a total capacity of 1,319 million tonnes per annum (MTPA) by FY 2029-30, according to the Ministry of Coal.

The details were presented by Union Minister of State for Coal and Mines Satish Chandra Dubey in a written reply in the Rajya Sabha today.

“Ministry of Coal, in collaboration with the Ministry of Railways, the Ministry of Power and the Ministry of Road & Transport & Ports, launched an Integrated Coal Logistics Plan,” the Ministry stated in a statement.

“This plan aims to develop a technology-enabled, cost-effective, resilient logistics ecosystem to improve multimodal transportation and reduce the overall cost of coal delivered to end consumers,” the release added.

Under the Coal Logistics Plan and Policy, 2030, progress is being made toward FY 2029-30 targets. Out of eight designated railway projects for coal evacuation, five have been commissioned, and the remaining three are scheduled for commissioning by FY 2028.

Additionally, the Ministry of Coal identified 33 critical projects that were taken up by the Ministry of Railways for future coal evacuation.

The official response outlined key challenges faced during the movement of coal. “The major bottlenecks identified in the evacuation of coal from pitheads to end-use destinations include: (i) inadequate rail capacity and congestion on certain high-density routes; (ii) Delays in sanction, land acquisition, forest and environmental clearances and execution of railway projects,” the release noted.

The release further stated, “(iii) operational constraints relating to availability, placement and turnaround of railway rakes; (iv) road congestion and environmental concerns associated with coal transportation through trucks; and (v) constraints in developing alternate modes such as rail-sea-rail, inland waterways and coastal shipping, including availability of suitable terminals and last-mile connectivity.”

To address these hurdles, the Ministry of Coal regularly reviews critical railway and FMC projects with the Ministry of Railways, coal companies, state governments, and other concerned agencies.

Strategy objectives under the integrated plan include increasing the share of coal transportation through railways to 75 per cent by FY 2030 to lower dependence on road movement, as well as promoting coastal shipping and inland waterways. To facilitate Rail-Sea-Rail (RSR) movement, Coal India Limited reduced the Performance Incentive for coal supplies beyond Annual Contract Quantity from 40 per cent to 20 per cent.

“These initiatives have contributed to augmentation of coal evacuation capacity, improvement in loading efficiency and more reliable movement of coal from mines to consumers,” the release mentioned.

“Expansion of rail connectivity and close coordination among the Ministry of Coal, Ministry of Railways, coal companies and power sector stakeholders have facilitated sustained coal dispatch and timely supply to power plants and other consuming sectors,” it added. (ANI)

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