Govt Enforces ‘Melt and Pour’ Rule for All Steel in Public Projects Nippon Steel expected to finalize U.S. Steel acquisition at $55 per share NMDC Limited reports a 38% drop in Q4 FY24 consolidated net profit RINL to Raise $23 Million Through Land Sales Amid Crisis
The Coal Ministry has instructed Coal India Ltd and NLC India Ltd to pursue pithead-brd thermal projects to cut transportation costs and increase dry fuel supply, according to a top government official. Coal Secretary Amrit Lal Meena stated that all new thermal projects by Coal India Ltd (CIL) and NLC India Ltd will be built near coal mines.
This will minimise the need for transportation, which is primarily by rail and road, and make coal more available for use in power generating, he said in response to a query about new coal PSU projects. The move will also reduce logistics cost and cost of power generation, he said, listing the benefits of a pithead-brd unit.
Coal India has signed an agreement with Rajasthan Urja Vikas Nigam Ltd (RUVNL) for a joint venture to set up 4,100 MW of power generation capacity in Rajasthan, Meena said. Of this, 1,725 MW will be pithead-brd capacity, 200 MW pumped storage, and 50 wind, while the remaining will be solar, he said.
Another coal PSU, NLC, and RUVNL have also signed initial agreements to set up 1,125 MW power projects in Rajasthan, he said. Of this, 125 MW will be a lignite-brd power plant, while the other will be a 1,000 MW solar power plant. CIL is also exploring thermal projects in Uttar Pradesh and Bihar, Meena said. In UP, he said CIL is in talks with the government to form a JV to take forward the plans to set up thermal capacities in the state.
The secretary said that in Bihar, the state government has offered CIL about 1,000 acres and suggested that it set up a 2,400 MW thermal plant, adding that "most of the projects will be pithead-brd." CIL—mainly a coal-producing company—and NLC, a producer of lignite—have diversified into thermal, solar, and wind power generation.
Also Read : Telangana govt to introduce new sand policy amid crackdown on illegal mining International conference on steel explores innovative solutions