The state-run miner is replacing road transport of coal from pitheads to dispatch points with mechanized systems such as conveyor belts to reduce transport time. It announced 35 projects in the first phase of the initiative, two of which are operational.
Coal India identified 14 additional projects involving capital expenditure of more than Rs 3,400 crore under the ‘first mile connectivity’ initiative to upgrade mining transport facilities, the state-run miner said.
The state-run miner is replacing road transport of coal from pitheads to dispatch points with mechanized systems such as conveyor belts to reduce transport time. It announced 35 projects in the first phase of the initiative, two of which are operational.
“Four coal companies of CIL (Coal India Ltd) together will infuse a tentative capital of over Rs 3,400 crore in these projects that have a total of 100.5 million tonnes/year capacity,” the company said in a statement.
Of the 14 Phase II projects, Central Coalfields Ltd (CCL) accounts for five with an annual capacity of 62.5 million tonnes.
Mahanadi Coalfields Ltd has a single project capacity of 20 million tons per year. Eastern Coalfields Ltd has seven projects and South Eastern Coalfields Ltd has one project with a capacity of 14 million tons per year and four million tons per year, according to the statement.
Tenders for these different projects will be floated from August this year to the next two years. The aim of Coal India is to replace the existing road transport between potheads and dispatch points and to switch to a seamless mechanized transport of coal through conveyor belts, which is a covered system for the movement of coal to reduce dust pollution.
It will also have the added benefit of computer-aided loading of rail wagons.
Under Phase I, the coal mining company had previously closed 35 projects, each with a capacity of four million tons per year and above, out of six of its subsidiaries with a capital of Rs 12,300 crore. Their combined project capacity is 406 million tons per year.
The 49 projects in both phases will have a total capacity of 506.5 million tons per year.
As a corollary, CIL will set up coal handling plants (CHPs) with silos with rapid loading systems, which will have advantages such as crushing, coal sizing, faster and better-quality coal loading, with the advantage of the precise pre-weighted quantity of coal being loaded.
CHP/Silo loading will be a big shot in the arm for CIL in furthering its quality supply of coal.
“This will be a tipping point in our coal transportation in the first mile. The multiple advantages include easing the load on road networks, saving on diesel costs, cleaner environment and stoppage of possible pilferage. Another advantage is quicker computer aided loading of wagons,” a senior executive of the company said.
Since coal will be loaded directly into the wagons from Silos it eliminates manual loading through pay loaders which is generally prone to overloading or under loading of wagons. Susceptibility of extraneous material being loaded through pay loaders leading to quality issues is another concern.
“Improved computer aided loading time will bring down the wagon idling. Wagon cycle time will be reduced by a few hours increasing wagon availability. It is a win-win situation for the company, railways and the consumer,” the official said.
CIL already transports 151 million tonnes per annum of coal through mechanised systems and loads through CHP/Silos from 19 projects. Now it would be enhanced to 557 MT/Y by 2023-24 through phase I projects.
Phase II projects will start contributing once the formalities of finalisation are over.
Of the 35 phase I projects, two projects, one each in SECL and MCL with a combined capacity of 26 million tonnes per annum are already operational since February and April this year. Seven projects of 91 million tonnes per annum capacity are under construction of which four are expected to get completed in this financial year.
While tenders have already been floated for eight projects having 76 million tonnes per annum capacity, tenders for the remaining 18 projects will be issued on a fast track mode before September 30.
