State-run Coal India Ltd (CIL) has recently approved 32 Mining Projects in the current financial year till January, which may bring investment to the tune of around Rs 47,300 crore as the company pursues to substitute imports and move towards its 1 billion tonne coal production target by 2023-34.

While it is clearly mentioned that 24 of the 32 are an expansion of the existing projects, the rest 8 are new Greenfield projects. Coal India board and boards of the respective subsidiary companies have given their nod for the move. “Scripting a record high, CIL allowed 32 coal mining projects in the current fiscal till January 2021,” the PSU stated.

The joint incremental peak capacity of these projects is estimated at 193 million tonnes per annum.

India’s coal users have earlier imported a record 248.5 million tons of the fuel in FY20. The miner has now lined up a total investment of about Rs 92,000 cr for its coal projects with a goal to accomplish 1 billion production target which comprise probable investment in Mining Infrastructure, Coal Evacuation Infrastructure, Project Development and Social Infrastructure. Conversely, CIL is also coming up with a projected likely investment of about Rs 1.26 lakh crore linking 506 projects which include prospective investment in clean coal and broadening initiatives.

The world’s leading miner is counting on a revival in demand for the fuel as the Indian economy surfaces from a pandemic-induced slump. Above and beyond the industrial consumption, the approaching summer is anticipated to boost demand for electricity and spur power generators to replenish their declining coal inventories, stated Coal India’s top official last month.

It is reported that India’s coal users imported a record 248.5 million tons of the fuel in the fiscal year ended 2020. Growing domestic production will be key to preventing them away from overseas purchases, Coal India said.

To guarantee smooth shipments, the company is also capitalising in railway tracks and other coal transportation infrastructure along the mines, as per the statement.