“This will be one of the big stepping stones towards our journey towards a $5 trillion economy,” said Chandrasekaran speaking at a FICCI event to flag off auction of Coal Mines for Commercial Mining on Thursday.
With a view to achieve self-reliance in the coal sector, the government started the process of auction of 41 coal mines under the provisions of Coal Mines (Special Provisions) Act and Mines and Minerals (Development and Regulation) Act. It was flagged off by prime minister Narendra Modi on Thursday.
Chandrasekaran said that this step is very “important and pivotal” especially in the context of Atma-nirbhar Bharat. India has one of the largest coal reserves in the world, but still our mining sector’s contribution to the GDP is less than 2%.
“This sector, with steps like this can easily contribute 5% to India's GDP. This step is very important for fulfilling self-reliance in the energy sector.”
He added that the government has worked relentlessly during the last few months to come up with a very simplified and transparent process.
“Our teams have looked at it and definitely feel that the terms and conditions are quite transparent, fair and very libralised. So, I'm sure this will be a very successful initiative. It will generate a huge round of growth, it will significantly reduce our imports, Prime Minister's statement this morning is absolutely true. We shouldn't be importing coal.”
India will invest around Rs 20,000 crore in four major projects for conversion of 100 million tonne (MT) of coal into gas by the end of this decade, Modi said earlier during the day.
"We have set the target that by 2030 we will gasify 100 MT of coal under four major projects with an overall investment of Rs 20,000 crore," Modi said adding the coal gas will be used for domestic cooking, transportation, urea, steel and fertiliser industries.
The government will also spend Rs 50,000 crore for creating infrastructure around coal mining for people in the eastern and central regions of the country.
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1 Comment on this Story
ss163 days ago
Coal is a natural resource and limited. A country must preferably not loot its own resources. Usage must be kept limited as some day will come when coal will b in short supply globally and India must still have some.Today the same applies for oil and other natural fuels and pvt parties are stocking these for the day when they can mint personal profits on it. Such national resources must stay with state as pvt players can hold a country to ransom for critical resources in crisis and wars.