Coal India to incur Rs.8,500 cr capital expenditure in 2017-18

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Coal India Ltd (CIL), which produces 84 per cent of the country’s total output of the mineral, has planned to invest Rs 8,500 crore as capital expenditure in 2017-18, its latest annual report said.

“The capital expenditure for the year 2017-18 has been set at (Rs) 8,500 crore,” the miner said in its annual report.

The miner has further planned to invest Rs 6,500 crore in various projects — Super Critical Thermal Power Plant (STPP), solar power, revival of fertiliser plants, coal gasification, acquisition of coal blocks in India and abroad, and CBM (coal bed methane) etc during 2017-18, the report said.

In the current fiscal, the target of coal production has been pegged at 600 million tonnes (mt) with an annual growth of about 8.3 per cent over the achievement of last year. In 2018-19, the envisaged coal production projection is 773.70 mt with a growth of about 28.95 per cent.

CIL has envisaged a coal production of 908.10 mt in 2019- 20 with a CAGR (compound annual growth rate) of 12.98 per cent with respect to 2014-15.

According to the report, the miner in view of Paris Protocol and consequent changes in world energy scenario is looking forward to diversify its operations towards renewable energy like solar power and clean energy sources like coal mine methane, coal bed methane, coal to liquid and underground coal gasification etc following the central government’s directives.

“Following that mission, MoC/CIL (Ministry of Coal/ Coal India Ltd) is in the process of formulating Vision Document 2030 to decide future course of operation for sustainable entity in the nation’s energy sector,” the report added.