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  • Essay / Coal imports into India

    India is the world's third largest producer of coal after China and the United States. Total coal production in India was around 612 million tonnes (MT) in FY 2015, which increased to 626 MT in FY 2016. Ninety percent of the production National coal comes from public sector coal producers, while only 10% is produced by the private sector. .Say no to plagiarism. Get a tailor-made essay on “Why violent video games should not be banned”?Get the original essayDespite sufficient coal reserves, we have not been able to meet our demand with our own production. The supply of high-quality coal in the country has been more limited than that of low-quality coal. Therefore, to bridge the demand-supply gap and to sweeten domestic production, we have no choice but to resort to the importation of coal, especially low ash coal. As per India's Import Policy of 1993-94, coal was brought under general open control. License (OGL) and therefore consumers are free to import coal according to their needs. Premium non-coking coal is imported mainly by coastal power plants and other industrial users, namely paper, sponge iron, cements and captive power plants, considering transportation logistics, commercial prudence, export duties and the insufficient availability of this superior quality coal. coal from local sources. Coal imports into India have grown at a rate of about 25% per year over the past five years. The largest consumer of coal in India is the power sector. Coal powers 61% of installed capacity and more than 84% of electricity produced. Regarding the growth of thermal power generation, there is uncertainty about the actual thermal capacity expected to come online by 2020. Plant capacity growth (an analysis of plant supply) depends sensitivity to the obstacles that contribute to it (regulatory authorizations, land and environmental authorizations, financing, etc.). On the other hand, the electrification of new areas would inevitably lead to an increase in demand (analysis of electricity demand electricity). Translating additional electricity demand into installed capacity would require assigning a value to additional consumption and variables such as plant efficiency values ​​(33%-38%), load factors of plant (PLF, 64.46% was the thermal average 2014-15) and production cost. Currently, 8% of coal production comes from underground mining technology. If CIL is to produce 900 tonnes by 2020, it will need to plan for an increased share of production coming from underground mining. As surface resources become depleted, coal would be mined from deeper, posing a challenge in the form of technical capabilities and a longer development period. The costs of underground mining would be considerably higher and the price of this coal would have to be subsidized to compete with imported coal. Underground mining infrastructure takes longer to develop (around six to seven years), making it suitable for surface mining or contract mining. the only possibility of drastically improving production in a shorter period of time. India was the first country in the world to create a ministry of unconventional energy resources in the early 1980s. 1,1%.