First mile connectivity projects with 414.5 mtpa coal capacity to be implemented in FY24.

The parliamentary standing committee on coal, recently, noted that the Coal Ministry will be implementing 35 first mile connectivity (FMC) projects with a capacity of 414.5 million tonnes per annum (mtpa) in FY24, ending March next year.

The committee’s report was placed in Parliament recently.

The panel noted that FMC projects will not only ensure timely delivery of the key commodity, but also aid in cutting down on pollution during transporting coal via road.

In Phase-1, 35 projects are to be implemented by FY24 with a capacity of 414.5 mtpa and another 9 projects have been taken up, which will cater to the dispatch of another 57 mtpa of coal, it said.

“Out of the 35 FMC projects in Phase-1, six projects of 82 MTPA capacity have already been commissioned and 3 projects of 30 MTPA are anticipated to be commissioned by March 2023,” the committee added.

Out of the 9 FMC projects under Phase-2, 3 projects of 14 MTPA capacity are under construction, while six are at different stages of formulation and tendering.

“The committee is happy to note that the Ministry of Coal and coal companies are on a fast track to implement these projects and after implementation of FMC Phase-1 and Phase-2, Coal India will increase the mechanised evacuation to 623 mtpa by FY25,” the panel noted.

The Coal Ministry in its response said that CIL is undertaking 59 FPC projects in 3 phases, with 33 projects in Phase-1, Phase-2 (9 projects) and Phase-3 (17 projects). Lignite miner NLC India (NLCIL) is undertaking 3 projects.

The Singareni Collieries Company (SCCL) is also undertaking 5 FMC projects with 3 in Phase-1 as well as one each in Phase-2 and Phase-3.

Of these, seven projects of CIL and 2 projects of SCCL have already been commissioned. Another 18 projects of CIL are expected to be commissioned by December 2023.

“The committee are happy to note that CIL is spending ₹13,000-14,000 crore through its internal resources for these FMC projects. While appreciating initiatives taken by the Ministries of Coal and Railways, the committee desire that both Phase-1 and Phase-2 of this ambitious project should be implemented and completed in a time bound manner as targetted to fulfill the desired objectives,” the panel said.

HBL