19 november 2012 4th coal summit 2012 1. 19 november 2012 4 th coal summit 2012 2 coal sector major...

19 November 20124th Coal Summit 2012 1


COAL SECTOR MAJOR ISSUES

Domestic Coal shortage has emerged as the biggest

challenge particularly for Power Sector.

Overall domestic coal shortage expected to be over

200million tones by end of 12th Plan period.

Contribution of coal in the total national Energy requirement

is foreseen to grow rapidly from present level of 530MTPA to

about 2BTPA by 2030 – 2031 necessitating growth rate of

coal production by 7% to 9% i.e. more than double from the

present level. Contd……….


Bridging the demand supply gap through import of coal has

its limitations due to :

a) Higher cost of import and price volatility.

b) Security issues – over dependence on other

countries mineral policies/foreign suppliers.

c) Technical constraints in using higher portion of

imported coal in plants designed for domestic coal

Inadequate capacity of Ports and Logistic constraints

KEY IMPERATIVE

Accelerated production of coal from Captive/New Blocks would

be crucial to match with the demand and bridge the shortfall

for achieving the target GDP growth rate

COAL SECTOR MAJOR ISSUES


MAJOR BOTTELNECKS

Key impediments in developing coal blocks are :-

a) Environmental Clearance and Forest Clearance

b) Land Acquisitions

c) Infrastructure Development

Bottlenecks / impediments can be addressed by suitable

- Policy interventions

- Speedy Clearances and acquisition

- Close co-ordination and monitoring mechanism

5

EARLIER SCENARIO

Block allotment

PL

TOR

EC

Stage 2 F.C.

Mining Lease

Forest Clearance

LA

EARLIER SCENARIO

PL

Forest Clearance

EARLIER SCENARIO

PL

Forest Clearance

EARLIER SCENARIO

PL

Forest Clearance

LA

PRESENT SCENARIO

Block allotment

PL

Submission of FDP

TOR

Stage 1 Forest Clearance

Forest Clearance

Mining Plan Approval

EC

Stage 2 Forest Clearance(Compliance of Stage 1 incl. EC) Mining

Lease

Result :- Time Consuming, More Complicated, Interwoven

•

RESULT OF RECENT POLICY UPDATION


Mining Plan

Stage 1 F.CPublic Hearing

Application for Forest Diversion


CASE STUDY OF A

GREEN FIELD COAL BLOCK


S.No Activity

Actual time Taken

(in months)

Delays beyond Allottee’s Control

1TOR for Mine & Washery

7Separate TOR for Mine & Washery

2 EIA/EMP Studies 7 Within time line

3Public Hearing & presentation to EAC

12Delayed due to state elections

4Approval from MoEF (EC)

26 Go-no-Go issue

5

Consent to Establish by State Pollution Control Board

6

Re scrutiny on the process which has already been cleared by EAC

ENVIRONMENTAL CLEARANCE

Total time taken for Environmental Clearance process is 48 months against the standard time limit of 18 Months (MoC Milestone Guideline)


S.No

Activity Actual time Taken (in months)

Delays beyond Allottee’s Control

1Collection, Certification and Submission of Records

14Scattered Land Records

2.

Processing the application --State-Central-Regional office involves –

•Preparation of Application , CA, R&R & Submission•Proponent to CCF (LM)•CCF to DFO•DFO to CCF (LM &FC)•Site Inspection by CF •CCF to PCCF (State)•PCCF to Principal Secretary (Forest)•Principal Secretary (Forest) to MoEF •MoEF to RCCF (Central) (Site inspection by RCCF)•RCCF to MoEF (Inspection Report)•Stage – I Clearance by MoEF

Total duration

7

11112111

69

31

•Go-No-Go issue.•Too many steps involved.

FOREST CLEARANCE

Cont.......


S.No Activity

Actual time

Taken (in

Months)

Delays beyond

Allottee’s Control

3.

Stage – II

• Deposit of NPV & Compliance report by proponent.

• Submission of compliance report by DFO to MoEF through PS (Forest)

•Issue of Final Clearance by MoEF

Total Duration

3

3

3

9

Process can be expedited at State/Central level

FOREST CLEARANCE

Total time taken for Forest Clearance till Stage- II process is 48 Months

Contd…


S.No

Activity

Actual time Taken (in

Months)

Delays beyond


1Compilation of Land Holding records and preparation of application and submission to Revenue Department

9Poor land holding records

2

Administrative process routing U/s 4(i)

•Forwarding proposal to Collector •Conducting Gram Sabha by LAO/DM•Notification U/s 4(i) by Collector

Total Duration

132

6

3

Land Acquisition process (Tenancy Land)

•Hearing of Objections U/s ‘5 A’ •Notification U/s 6 by LAO & its gazette Notification•Action U/s 8 •Notice U/s 9(3) and hearing of individual tenants •Enquiry and award by Collector U/s 11 •Compensation to Land Owners and physical possession from LAO

Total Duration

282 5

126

35

Scattered land holding pattern

LAND ACQUISITION & R & R

Contd…


S.No Activity Actual time Taken (in Months)

Delays beyond


4

R&R Issues

•Socio-Economic Survey & Preparation of R&R Plan•Scrutiny by Collector and placing before District Rehabilitation Committee (DRC)•Finalization of R & R plan and submission to Collector• R&R Site identification and submission to Collector •R & R site award by Collector

Total Duration

8

6

3

9

9

35

Identification of R&R site and obtaining revenue record of the same took time.

LAND ACQUISITION & R & R issues

Total time taken for Land Acquisition process is 48 Months against the standard time prescribed by MoC 36 Months

Contd…


Issuing of Prospecting License and Forestry Clearance along with Block allotment

Letter in case of unexplored blocks be considered.

Filing TOR application be done online.

MoEF may consider standardizing TOR for the projects based on experience of

handling coal mining projects since adoption of EIA Notification of 2006 which

would reduce time in EC appraisal by atleast 6 months.

State Official to ensure completion of Public Hearing within the time frame notified

in EIA notification i.e. 45 days.

Concept of Single window clearance is needed – By way of formation of inter

ministerial/ inter department group who shall be authorized to deal with such

clearances in a time bound manner.

Compensatory afforestation be taken by project preferably through PPP mode with

suitable mechanism by State/Central Government.

Alternatively like in case of UMPP, SPV Agency be created which takes all the

clearances of coal block development which shall be transferred to the block

allottee.

CLEARANCES – MITIGATION MEASURES


Land Acquisition & R & R Issues – Mitigation Measures

Digitalization of Land Holding Records.

Regular updating of Land titles.

State to Identify Suitable Site for R&R on Intimation of

Allocation of Coal Block-Thus saving time.

State Govt. should fix Floor Price and Ceiling Price for

Compensation Rate for Land purchase from the private

parties.

Implementation of R&R Policy, addressing the genuine

concerns of Local Villages/PAP’s , creating goodwill and mutual

trust.

Taskforce under chairmanship of Revenue Secretary of

respective State be constituted to sort-out issues for

expediting the land acquisition process.


Govt. to create railway and road infrastructure in Green Field

Areas.

States to take initiative for construction of common rail/road

corridors in potential coal fields.

Dedicated Rail corridors for coal transport needs to be

speeded up preferably through PPP model.

New Rail links in North Karampur area, Raigarh area, Talchar

area need immediate action as major part of the future growth

in production is expected from these areas.

Expansion of Port Handling capacity also needs to be put on

fast track.

INFRASTRUCTURE – WHAT NEEDS TO BE DONE

19 november 2012 4th coal summit 2012 1. 19 november 2012 4 th coal summit 2012 2 coal sector major...

Documents

import of coal

eac4th coal summit

contribution of coal

developing coal blocks

green field coal block

time consuming

noactivity actual time

months delays