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Removal of Road Blocks for Fast Development of Coal Block

Removal of Road Blocks for Fast Development of Coal Block. Presented by M K THAPAR & R L MATTOO ADANI MINING PVT LTD. COAL SECTOR MAJOR ISSUES. Domestic Coal shortage has emerged as the biggest challenge particularly for Power Sector.

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Removal of Road Blocks for Fast Development of Coal Block

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  1. Removal of Road Blocks for Fast Development of Coal Block Presented by M K THAPAR & R L MATTOO ADANI MINING PVT LTD 4th Coal Summit 2012

  2. COAL SECTOR MAJOR ISSUES • Domestic Coal shortage has emerged as the biggest challenge particularly for Power Sector. • Overall domestic coal shortage expected to be over 200million tones by end of 12th Plan period. • Contribution of coal in the total national Energy requirement is foreseen to grow rapidly from present level of 530MTPA to about 2BTPA by 2030 – 2031 necessitating growth rate of coal production by 7% to 9% i.e. more than double from the present level. Contd………. 4th Coal Summit 2012

  3. COAL SECTOR MAJOR ISSUES • Bridging the demand supply gap through import of coal has its limitations due to : • a) Higher cost of import and price volatility. • b) Security issues – over dependence on other countries mineral policies/foreign suppliers. • c) Technical constraints in using higher portion of imported coal in plants designed for domestic coal • Inadequate capacity of Ports and Logistic constraints • KEY IMPERATIVE • Accelerated production of coal from Captive/New Blocks would be crucial to match with the demand and bridge the shortfall for achieving the target GDP growth rate 4th Coal Summit 2012

  4. MAJOR BOTTELNECKS • Key impediments in developing coal blocks are :- • a) Environmental Clearance and Forest Clearance • b) Land Acquisitions • c) Infrastructure Development • Bottlenecks / impediments can be addressed by suitable • - Policy interventions • - Speedy Clearances and acquisition • - Close co-ordination and monitoring mechanism 4th Coal Summit 2012

  5. RESULT OF RECENT POLICY UPDATION PRESENT SCENARIO EARLIER SCENARIO EARLIER SCENARIO EARLIER SCENARIO EARLIER SCENARIO Block allotment Block allotment Forest Clearance Forest Clearance Forest Clearance Forest Clearance Forest Clearance PL PL PL PL PL Submission of FDP Mining Plan TOR Mining Plan Approval Application for Forest Diversion TOR Stage 1 Forest Clearance Public Hearing Stage 1 F.C EC EC Stage 2 F.C. Stage 2 Forest Clearance (Compliance of Stage 1 incl. EC) Mining Lease Mining Lease LA LA • Result :-Time Consuming, More Complicated, Interwoven 5 4th Coal Summit 2012

  6. CASE STUDY OF A GREEN FIELD COAL BLOCK 4th Coal Summit 2012

  7. ENVIRONMENTAL CLEARANCE Total time taken for Environmental Clearance process is 48 months against the standard time limit of 18 Months (MoC Milestone Guideline) 4th Coal Summit 2012

  8. FOREST CLEARANCE Cont....... 4th Coal Summit 2012

  9. FOREST CLEARANCE Contd… Total time taken for Forest Clearance till Stage- II process is 48 Months 4th Coal Summit 2012

  10. LAND ACQUISITION & R & R Contd… 4th Coal Summit 2012

  11. LAND ACQUISITION & R & R issues Contd… Total time taken for Land Acquisition process is 48 Months against the standard time prescribed by MoC 36 Months 4th Coal Summit 2012

  12. CLEARANCES – MITIGATION MEASURES • Issuing of Prospecting License and Forestry Clearance along with Block allotment Letter in case of unexplored blocks be considered. • Filing TOR application be done online. • MoEF may consider standardizing TOR for the projects based on experience of handling coal mining projects since adoption of EIA Notification of 2006 which would reduce time in EC appraisal by atleast 6 months. • State Official to ensure completion of Public Hearing within the time frame notified in EIA notification i.e. 45 days. • Concept of Single window clearance is needed – By way of formation of inter ministerial/ inter department group who shall be authorized to deal with such clearances in a time bound manner. • Compensatory afforestation be taken by project preferably through PPP mode with suitable mechanism by State/Central Government. • Alternatively like in case of UMPP, SPV Agency be created which takes all the clearances of coal block development which shall be transferred to the block allottee. 4th Coal Summit 2012

  13. Land Acquisition & R & R Issues – Mitigation Measures • Digitalization of Land Holding Records. • Regular updating of Land titles. • State to Identify Suitable Site for R&R on Intimation of Allocation of Coal Block-Thus saving time. • State Govt. should fix Floor Price and Ceiling Price for Compensation Rate for Land purchase from the private parties. • Implementation of R&R Policy, addressing the genuine concerns of Local Villages/PAP’s , creating goodwill and mutual trust. • Taskforce under chairmanship of Revenue Secretary of respective State be constituted to sort-out issues for expediting the land acquisition process. 4th Coal Summit 2012

  14. INFRASTRUCTURE – WHAT NEEDS TO BE DONE • Govt. to create railway and road infrastructure in Green Field Areas. • States to take initiative for construction of common rail/road corridors in potential coal fields. • Dedicated Rail corridors for coal transport needs to be speeded up preferably through PPP model. • New Rail links in North Karampur area, Raigarh area, Talchar area need immediate action as major part of the future growth in production is expected from these areas. • Expansion of Port Handling capacity also needs to be put on fast track. 4th Coal Summit 2012

  15. THANK YOU 4th Coal Summit 2012

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