NEW DELHI: India is betting big on non-fossil sources as well as coal to meet rising energy demand on the back of rapid economic growth. The government on Wednesday approved Rs 2,980 crore for exploration of coal and lignite with an eye on future auction of blocks for mining.
Separately, Coal Minister Pralhad Joshi Said that his ministry has also decided to open up coal exploration to the private sector and has selected 14 eligible agencies for the purpose. The exploration of coal was till now confined to the Geological Survey of India.
About 1,950 sq km is expected to be explored with the allocated funds by 2025-26, which is the last year of the 15th Finance Commission, said a government statement.
Coal exploration has two phases – promotion, which is regional in nature, and detailed exploration in non-Coal India blocks. Almirah An outlay of Rs 1,650 crore has been approved for promotional (regional) exploration and Rs 1,330 crore for detailed drilling in non-CIL areas.
BP’s Energy Outlook 2023 recently placed the share of coal in India’s total primary energy basket at 45%, which has remained stable over the past 40 years. But the International Energy Agency said in 2021 that coal would remain king for India, despite the government’s aggressive pursuit of non-fossil sources with a target of 500 gigawatts of capacity by 2030.
Exploration is required to prove and estimate the coal resources available in the country, which helps in mapping the detailed project report for undertaking coal mining. The geological reports generated through these explorations are used for auctioning new coal blocks and then cost is recovered from the successful allottees.
Separately, Coal Minister Pralhad Joshi Said that his ministry has also decided to open up coal exploration to the private sector and has selected 14 eligible agencies for the purpose. The exploration of coal was till now confined to the Geological Survey of India.
About 1,950 sq km is expected to be explored with the allocated funds by 2025-26, which is the last year of the 15th Finance Commission, said a government statement.
Coal exploration has two phases – promotion, which is regional in nature, and detailed exploration in non-Coal India blocks. Almirah An outlay of Rs 1,650 crore has been approved for promotional (regional) exploration and Rs 1,330 crore for detailed drilling in non-CIL areas.
BP’s Energy Outlook 2023 recently placed the share of coal in India’s total primary energy basket at 45%, which has remained stable over the past 40 years. But the International Energy Agency said in 2021 that coal would remain king for India, despite the government’s aggressive pursuit of non-fossil sources with a target of 500 gigawatts of capacity by 2030.
Exploration is required to prove and estimate the coal resources available in the country, which helps in mapping the detailed project report for undertaking coal mining. The geological reports generated through these explorations are used for auctioning new coal blocks and then cost is recovered from the successful allottees.