Coal production by the allocated captive mines has already surpassed the yearly target by Feb’19 in the current fiscal year.
As per the data provided by Coal Ministry, the captive mines have produced 4.41 MnT coal in excess of the yearly target of 40 MnT in FY19.
Total coal production from the captive mines have reached 44.41 MnT in the first 11 months of FY19 (Apr’18-Feb’19) compared with 33.76 MnT during the corresponding period of previous year, thus recording a growth of 32% Y-o-Y.
Captive production in India have been hit by the government’s decision to De-allocate the previous mines, following which they were reshuffled in the subsequent round of coal block auction.
Moreover, the latest rounds of coal block auction have not garnered fruitful response among the bidders, which were ultimately terminated. Otherwise, it could have contributed more to the captive production.
It is worth noting that since the beginning of FY16, the Coal ministry has managed auction of only two coal blocks namely, Marki Mangli-I and Majra.
In latest round of events, the coal ministry has also terminated the 6th and 7th tranche of coal block auction.
Contribution from ‘Others’
Coal production target of ‘others’ was fixed at 15 MnT for FY19.
It is pertinent to note that ‘Other’ indicate mines not operated by CIL/SCCL, and are non-captive coal companies, which include- output from DVC, JKML, IISCO, TISCO, JSMDCL and Meghalaya.
The coal production by these mines during Apr’18-Feb’19 was 8.40 MnT as compared to 7.94 MnT during corresponding period of previous year with a growth rate of 5.8% on y-o-y basis.
In total, Indian coal production during Apr’18-Feb’19 has reached 638.46 MnT as compared to 591.42 MnT, in which major coal miners CIL and SCCL have contributed 527.7 MnT and 57.94 MnT respectively.
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