SCCL to step up production to meet increasing demand


Company achieves about 39.54 million tonnes production in 8 months of 2018-19

Singareni Collieries Company Limited (SCCL) has stepped up its efforts to increase coal production from its existing mines with their expansion, as well as by going for new mines, keeping in mind the ever-increasing demand for carbon-fuel from power, cement, iron and steel and other industries.

The declaration of commercial operation of the 800 mw super critical unit of the Kothagudem Thermal Power Station (KTPS) on December 26 alone would add the coal supply demand of 4 million tonnes per annum (MTPA) for the company. The expected increase in the demand from agriculture sector for the cultivation of Rabi crops and the forthcoming summer season would also add to the demand from power sector.

New mines

As such, the SCCL is planning to commence coal production at least in seven new mines during 2019-20 to meet the increasing demand. The new mines planned for production include Kistaram Open Cast (OC), J.V.R. OC, Manuguru OC-2, Indaram OC, Sravanapalli OC, RG-I OC-5 and K.T.K. OC-3.

“We are required to continue supplement coal of 4.8 MTPA to our own 2×600 mw Singerni Thermal Power Plant and when the super critical expansion unit of 800 mw goes on commercial production, possibly by the end of 2019-20, we may have to meet another 4.05 MTPA coal from our own production. The existing and upcoming units of the power plant are tied up with coal from Naini Block in Odisha but production there is expected only towards the end of 2020-21,” a senior official of SCCL explained.

Temporary setback

The company's plans to add production of 2 MTPA from Kistaram mines from early 2019-20 suffered a temporary setback recently when an expert committee of the Ministry of Environment and Forests (MoEF) held back its recommendation for environmental clearance for the project citing “non-compliance of the conditions stipulated in the Stage-I forest clearance given to it on September 11, 2018”.

By expanding the Shantikhani under ground (UG) longwall project, the company is planning to raise the coal production there from 1.67 MTPA to 1.80 MTPA. However, the MoEF panel which met during the second week of December did not grant it the terms of reference as part of the process for environmental clearance citing shortcomings in the proposal.

Target fixed

Meanwhile, the Singareni management has fixed itself a target of reaching 85 million tonnes of coal production by the end of 2022-23 from 62.01 million tonnes achieved in 2017-18. The upcoming demand includes requirement of 7 MTPA from Singareni for 5×800 mw Yadadri Thermal Power Station, which also needs import of another 7 MTPA coal, when all five units reach commercial generation stage.

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Printable version | Jan 26, 2020 11:05:32 AM |

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