import of coal

Thursday, December 23, 2004

Rajya Sabha

Import of coal from other countries is being resorted to primarily for reasons of quality arising out of limited availability of superior grade coking and non-coking coal indigenously. Other major reasons for import of coal are environmental considerations and consideration of location specific landed cost as Indian coal, in general, contains high ash content and requires haulage over long distances necessitating larger freight costs.

This information was given by the Minister of State for Coal and Mines Dr. Dasari Narayana Rao in a written reply in the Rajya Sabha today. Replying to a question on steps taken to imrove the functions of the industry, the Minister said that Coal India Ltd. (CIL) and its subsidiaries are in constant endeavour to imrpove their performance in the areas of production, producitivity and welfare of employees. However, for ECL & BCCL, which have been referred to BIFR, two separate rehabilitation schemes have been submitted to BIFR. BIFR has already approved the revival plan of ECL. The revival for ECL and BCCL envisages positive net worth by 2008-09 and 2011-12 respectively.