CIL floats 35 tenders worth Rs 12,500 cr for transportation of 406 MTPA of coal

• CIL said that the estimated investment is Rs 12,500 crore

• Each of these projects is planned to have a production capacity of 4 MTPA and above

New Delhi: State-run coal miner Coal India Ltd (CIL) has floated 35 tenders for the transportation of coal from its mine pitheads to despatch points. The company said in a statement on Monday that the estimated investment is Rs 12,500 crore. The handling capacity of these 35 projects will be 406 million tonnes per annum (MTPA). According to the tenders, each of these projects is planned to have a production capacity of 4 MTPA and above. The expenditure for these projects will be met out of CIL's capex, said the statement.

Coal Handling Plants (CHPs) and silos for rapid loading system would also be commissioned across six subsidiaries under the tenders, said the statement. These will have additional facilities of crushing and sizing of coal and speedy computerised loading. "Another upside is that with the reduced manual intervention, precise pre-weighed quantity of coal can be loaded. It also spurs loading of better quality coal," it added. 

Mechanised transportation to promote clean environment

"Under mechanised transportation, coal would be moved through piped conveyor belt mode promoting cleaner environment. With reduced movement of coal-laden trucks on roads it brings down dust pollution to the comfort of people residing in the proximity of the mines. CIL is undertaking a study through National Environmental Engineering Institute (NEERI), Kolkata particularly for assessing and quantifying benefits of environmental aspects of these projects," said the statement released by CIL. 

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Mechanised transportation will reduce transportation costs

Currently, CIL spends around Rs 3,400 crore on coal transportation costs. This cost will come down with the introduction of mechanised coal transport in the first mile. CIL said it is expecting close to 12 percent internal rate of return after switching over to mechanised transport means. 

"Improved loading time will bring down the wagon idling thus increasing their availability. Easing the load on road networks induces savings on diesel as well apart from positive environmental considerations. It will be an all-round win-win situation for the company, railways, consumers and villagers in the proximity of the mines," said a senior executive of the company. 

Mechanized conveyor system and computerized loading is operational in 19 projects of CIL having 151 MTPA capacity. With the new 35 projects, the capacity would increase to 557 MTPA by 2023-24, said the statement.

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