India aims to double coal production by 2030
COAL & MINING

India aims to double coal production by 2030

New Delhi: The coal ministry has set an ambitious goal to nearly double India's coal production by fiscal 2030, achieving a compound annual growth rate (CAGR) of approximately 7.7%.

In FY23, major coal-producing states such as Odisha, Chhattisgarh, Jharkhand, and parts of Madhya Pradesh contributed a staggering 75% of India's raw coal dispatch. To sustain this momentum and support the nation's growth, enhanced coal production is imperative.

To tackle this challenge, the coal ministry has adopted a multifaceted approach, including the promotion of Rail-Sea-Rail (RSR) transportation. This innovative multimodal system is poised to revolutionise the domestic coal movement, focusing on efficiency enhancement, cost reduction, and logistics optimisation.

An Inter-Ministerial Committee (IMC) has been established, involving representatives from the ministries of power, railways, ports, shipping, and waterways. This committee is tasked with formulating a comprehensive, long-term strategy for nationwide coal transportation.

Presently, railways account for a significant 55% of coal evacuation, a proportion the Ministry of Coal aims to elevate to 75% by FY30. The ministry's commitment to expanding coal evacuation and diversifying evacuation routes to mitigate congestion has led to a series of measures endorsing RSR as the primary mode of coal evacuation.

The ministry underscores the need to augment coal evacuation and enhance alternative evacuation routes to mitigate congestion, such as the RS/RSR mode by FY30. The committee has proposed measures to promote RSR evacuation of coal, targeting 112 MT by 2030, up from the current 40 MT. This strategy offers diverse benefits, including reduced congestion on the All-Rail Route, potential export opportunities, and a significantly lower carbon footprint compared to the existing system.

The coastal shipping mode, an economical and eco-friendly solution, has the potential to transform India's logistics landscape. Ongoing efforts to enhance coal evacuation through initiatives like RS/RSR aim to optimise port capacity utilisation along the Southern and Western coasts, facilitating efficient coal transportation to powerhouses in multiple states.

The ministry stated, "Initiatives are underway to optimise the costs of delivering coal through RSR, potentially saving around Rs. 760-1300 per ton in logistics costs for end users in Southern India."

New Delhi: The coal ministry has set an ambitious goal to nearly double India's coal production by fiscal 2030, achieving a compound annual growth rate (CAGR) of approximately 7.7%. In FY23, major coal-producing states such as Odisha, Chhattisgarh, Jharkhand, and parts of Madhya Pradesh contributed a staggering 75% of India's raw coal dispatch. To sustain this momentum and support the nation's growth, enhanced coal production is imperative. To tackle this challenge, the coal ministry has adopted a multifaceted approach, including the promotion of Rail-Sea-Rail (RSR) transportation. This innovative multimodal system is poised to revolutionise the domestic coal movement, focusing on efficiency enhancement, cost reduction, and logistics optimisation. An Inter-Ministerial Committee (IMC) has been established, involving representatives from the ministries of power, railways, ports, shipping, and waterways. This committee is tasked with formulating a comprehensive, long-term strategy for nationwide coal transportation. Presently, railways account for a significant 55% of coal evacuation, a proportion the Ministry of Coal aims to elevate to 75% by FY30. The ministry's commitment to expanding coal evacuation and diversifying evacuation routes to mitigate congestion has led to a series of measures endorsing RSR as the primary mode of coal evacuation. The ministry underscores the need to augment coal evacuation and enhance alternative evacuation routes to mitigate congestion, such as the RS/RSR mode by FY30. The committee has proposed measures to promote RSR evacuation of coal, targeting 112 MT by 2030, up from the current 40 MT. This strategy offers diverse benefits, including reduced congestion on the All-Rail Route, potential export opportunities, and a significantly lower carbon footprint compared to the existing system. The coastal shipping mode, an economical and eco-friendly solution, has the potential to transform India's logistics landscape. Ongoing efforts to enhance coal evacuation through initiatives like RS/RSR aim to optimise port capacity utilisation along the Southern and Western coasts, facilitating efficient coal transportation to powerhouses in multiple states. The ministry stated, Initiatives are underway to optimise the costs of delivering coal through RSR, potentially saving around Rs. 760-1300 per ton in logistics costs for end users in Southern India.

Related Stories

Gold Stories

Next Story
Resources

Schindler named among Forbes’ World’s Best Employers 2026

Schindler has been named among Forbes’ World’s Best Employers 2026, a global ranking recognising companies for their workplace environments.Compiled by Forbes in partnership with Statista, the ranking is based on independent employee feedback, including whether employees would recommend their organisation to friends and family.The company said the recognition reflected its focus on creating a workplace where employees can develop their expertise and build careers. ..

Next Story
Infrastructure Urban

India needs an export-execution mindset: Vishesh Jain

Interview with Vishesh Jain, Founder & CEO, EximpleWhat gaps in India’s global trade ecosystem led you to build Eximple, and what problem did you see businesses struggling with most?Eximple came out of a problem that all three founders had seen from different choke points in the trade ecosystem. India has millions of MSMEs and manufacturers, and many of them can make products that are genuinely competitive on quality. Yet only a small fraction is able to build meaningful international businesses. In our experience, the gap is usually not manufacturing capability; it is the ability to exe..

Next Story
Building Material

Nuvoco reports 13.5% revenue growth in Q2 FY27

Nuvoco Vistas Corp. Ltd. reported consolidated revenue of Rs 27.9 billion for Q2 FY27, up 13.5% year on year. Cement sales volume rose 9% to 4.7 million tonnes (MMT), while EBITDA increased 11% to Rs 4.11 billion.The company said it began its cement operations in 2014 with a 2.3 MMT per annum (MMTPA) operation at Nimbol. It now aims to reach 35 MMTPA of cement capacity by FY28, nearly 15 times its initial capacity. Its portfolio spans cement, ready-mix concrete and modern building materials.On sustainability and cost efficiency, Nuvoco partnered with CleanMax for a 46.4 MW wind-solar hybrid re..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code