Coal mining news-

CIL slashes coal prices(miningweekly.com) - Faced with mounting stocks currently estimated at 58-million tonnes, producer Coal India Limited (CIL) has slashed the prices of high-grade coal by around 40%. A senior CIL official said that the reduction in prices had been put into effect from April on an experimental basis, but could be continued through the current 2016/17 fiscal year if lower prices proved successful in reducing existing stockpile and ensured higher offtake, particularly from the thermal power generation sector. Print Send to Friend 0 CIL had also scrapped the premium charged based on volumes delivered to incentivise large volume buyers to commit to higher offtake. For example, CIL used to charge a premium of 10% of the price for all deliveries above 90% of the contract with the buyer and the premium would increase to 20% of the price if deliveries ranged between 95% and 100% of the contract. MORE INSIGHT Government miners to initiate commercial coal mining in India CIL likely to face higher production target next year Coal of India’s stockpile expands further forcing cutbacks The reduction in base price and the waiver of premium deliveries, a remnant from days of supply shortage, were largely CIL’s reaction to rising production, high stocks at power plants and fall in offtake from the latter. On April 1, coal stocks at power plants were reported at 38-million tonnes. During 2015/16, CIL notched a production growth of 8.5% at 536-million tonnes and this enabled a reduction in imports of 34.26-million tonnes. The production target for the current year had been fixed at 540-million tonnes but it was implementing a phased lowering of production levels across some mines in response to a slowdown in offtake from the power sector.



http://www.engineeringnews.co.za/article/cil-slashes-coal-prices-2016-04-27

Coal mining news-

Govt invites applications for allotment of 8 coal mines

PTI | Apr 24, 2016, 12.15 PM IST

New Delhi, Apr 24 () Moving ahead with its decision to open up the coal sector, the government has invited applications from public sector entities for allocation of eight mines that have been identified for commercial mining.

These eight mines would be allotted to host states. Among these, two blocks are in Madhya Pradesh, while one each is in Odisha, Maharashtra, West Bengal, Jharkhand, Telangana and Chhattisgarh, an official said.

The government came out with the notice inviting applications for the mines on April 21, the official said adding May 31 will be the last date for submission of applications and "June 1 will be the application opening date."

The Nominated Authority will make recommendations to the Centre for selection of allottees on June 8 and on June 10 the results would be published and intimation to allottees would be made, the official said.

July 15 would be the last date for furnishing of performance security and payment of fixed amount and first instalment of Upfront Amount while the allotment order would be issued on July 19.

The eight coal blocks to be allotted are Baitarni West in Odisha, Dahegaon/Makard hokra IV in Maharashtra, Dongeri Tal II and Marki Barka in Madhya Pradesh, Gourangdih ABC in West Bengal, Patal East in Jharkhand, Penagaddppa in Telangana and Shankarpur Bhatgaon II Extn in Chhattisgarh.

The decision to open up coal sector is in line with the government's target of doubling coal production to 1.5 billion tonnes by 2020. For Coal India, the target is 1 billion tonne.

Coal and Power Minister Piyush Goyal had earlier said the government will ensure that coal demand of states, PSUs and small players is fully met before opening the sector for commercial mining by private companies. SID ANU ABM

(This story has not been edited by timesofindia.com and is auto–generated from a syndicated feed we subscribe to.)

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Coal gasification urea plant to come up in Chhattisgarh

The facility will come up at an investment of Rs 6,000 crore and will be developed on PPP basis

R Krishna Das  |  Raipur April 23, 2016 Last Updated at 15:56 IST

 

Image via Shutterstock

A coal gasification-based urea plant with an annual capacity of 1.3 million tonne has been planned for Chhattisgarh.

Union minister for chemicals and fertilizers, Ananth Kumar, said the plant will come up at an investment of Rs 6,000 crore. The project will be based on coal gasification and will be developed on public-private partnership (PPP) basis.

The state’s industry department officials said that the project was in the initial stage, though the process for its implementation had started. The department had identified a few places in Raigarh and Korba districts that it would allot once the ministry approved after studying the feasibility, the officials added.

Earlier, the ministry had planned a urea plant in Korba district that was later dropped. Instead, it had planned to revive the Korba plant that was closed down some 42 years ago. The plant would be ready for production by 2019 and would have installed capacity of 1.2 million tonnes per annum.

Though the proposed plant would be based on coal gasification, the ministry did not have any coal block in Chhattisgarh to play with. According to officials, efforts were on by the state-run Chhattisgarh Mineral Development Corporation (CMDC) to bag a coal block that could also feed the raw material requirement for the proposed urea plant. This would facilitate state’s partnering in the project.

A private company is also coming up with a coal gasification plant in Korba. The ministry may also explore the possibility of associating the company with the project.

The exercise is part of the new urea policy of the National Democratic Alliance (NDA) government that aimed of maximizing indigenous urea production, promoting energy efficiency in urea production, and rationalizing subsidy burden on the government. The government is raising domestic urea output by setting up new plants and reviving the closed ones.

Interview: Prakash Javadekar on India’s coal tax and climate change

By Mayank Bhardwaj

April 20, 2016

Tags:

 CLIMATE CHANGE | COAL TAX | ENVIRONMENT MINISTER | GREEN TAX | INTERVIEW | PARIS ACCORD | PRAKASH JAVADEKAR | REUTERS INTERVIEW

Environment Minister Prakash Javadekar will travel this week to New York, where the United States, China and other leading economies will formally accede to the Paris climate change accord forged in December.

In an interview with Reuters, Javadekar called on developed countries like the United States to raise a green tax on their coal production to help create a $100 billion-a-year fund to help poorer countries tackle climate change.

Javadekar, who was in Paris when 200 countries forged the landmark agreement, is citing the example of India, which has raised the coal production tax to $6 a tonne from $1 in a bid to make it more expensive to consume the dirty fuel. (For main story, click here)

Below are edited excerpts from the interview:

ON THE PARIS CLIMATE AGREEMENT
As far as Paris is concerned, the essential issue was that the differentiation should remain as far as responsibility is concerned. And in the Paris agreement, it is very clearly mentioned that the developed world will take absolute emission cuts and developing world will reduce emission as well as energy intensity.

ON INDIA’S COAL TAX
This is one great idea that India has brought on the table even before we sign the Paris agreement. Our tax was $1 a tonne when we assumed office in May 2014. Within two years, we’ve jumped from $1 to $6 a tonne. That’s the highest taxation on coal production. This means a lot. It’s 15 percent of the cost of production.

Most countries are levying only $1 a tonne. If they (developed world) follow India and levy $5-6 per tonne on coal production, $100 billion can be easily mobilized. That is important. Because the developed world is taking a plea that $100 billion is not possible. Today, on the table, is only $10 billion. Even a country like the U.S. is promising only $3 billion.

ON INDIA’S PLANS TO CUT DEPENDENCE ON FOSSIL FUELWe have a very ambitious energy mix plan. We’ve planned 40 percent of our energy mix capacity from non-fossil fuel by 2030. That’s the highest. Even the United States is not doing this.

We’re doing the world’s largest renewable programme of 175 gigawatt. Our coal consumption is less than the U.S. and China. We’re the world’s fourth-largest coal consumer but we’ve 17 percent of the world’s population. Our per capita use is much less that China, Europe and America.

We’ve taxed our polluting vehicles. We’re incentivising hybrid and electric vehicles, giving them subsidy.

ON TWO STRAIGHT DROUGHTS
Drought is a reality. It’s a natural cycle. For the last 30 years, we’re experiencing droughts in different parts of the country. The permanent remedy is — the emphasis on water conservation through water shed development, connecting rivers. India has 17 percent of the world’s population, but only 4 percent of fresh rain water resources. We’re tapping our full potential.

ON GENETICALLY MODIFIED CROPS
We’re allowing trials. The scientific and safe trials will take at least 7-8 years to complete. Only one proposal we’ve received and that is on mustard. It’s just been there for four months. Three meetings have happened. We’re considering it but the safety of food is a very important aspect of India’s ethos. So we’ve asked for more information and they’re supplying.

Europe is not using GM. Every country takes decisions as per its national policy. We’re not stopping science from progressing. That’s our policy.

(Editing by Tony Tharakan; Follow Mayank on Twitter @MayankBhardwaj9 and Tony@tonytharakan | This article is website-exclusive and cannot be reproduced without permission)

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