1.5 billion tonnes coal production aimed by 2020: Official

After laying an ambitious target of 510 million tonnes coal production for state-run Coal India Ltd (CIL) by 2015, the coal department is aiming to mine 1.5 billion tonnes by 2020, a senior government official said here Friday.

"The estimates reveal by 2020, the country will need 1.5 billion tonnes of coal. What we have worked on is that a billion tonne will come from CIL and 500 to 600 million tonnes (MT) from the private sector," union Coal Secretary Anil Swarup said on the sidelines of a MCC Chamber of Commerce event.

According to the coal secretary, through the upcoming coal auction of 101 mines, the first 42 mines to be auctioned by March 23 will produce 90 MT of coal while the 32 mines to be auctioned in the first week of April will generate 140 MT and the next round of 27 mines to be auctioned in third week of April will generate 120 MT.

"Though the (upcoming) auctions, we are looking at 350 million tonnes (MT) of additional coal beyond CIL which did 460 MT last year and this year they will cross 500 MT," he said.

He said in the first batch of the auction, the 42 mines will be auctioned only to entities that has a ready set-up and are in need of coal while for the second batch (32 mines with 140 MT capacity) companies who can ready the set-up in the coming year and a half will be able to bid.

"We will work in tandem with the private sector to keep the mines going," he said.

Swarup said the government is taking necessary steps to boost coal production and is keen to address the bottlenecks in CIL.