The Union Coal Minister, Mr Sriprakash Jaiswal, has said that Coal India will set up 20 new washeries with a combined capacity of 111 million tonnes to help realise better price for its produce.
“... Twenty new washeries with an annual capacity of 111 mt per annum are being taken up by Coal India (CIL) during the XI and XII Five-Year Plans,” the Minister said at a coal gas summit here today.
At present, CIL operates 17 coal washeries, out of which 11 are coking coal and the remaining are non-coking coal, with a total capacity of 39.4 mt per annum.
The Ministry had earlier estimated that the establishment of new washeries would require an investment of Rs 2,500 crore. The aim of setting up new washeries is to reduce the ash content in coal produced by CIL and improve its calorific value, among other things.
Indian coal has high ash content. The average ash content in Indian coal is 35-38 per cent. In this regard, washing will help reduce the ash content by 7-8 per cent.
The Minister had earlier said that all of CIL’s new mining projects with a capacity of two mt per annum or more would have in-built washeries to enhance the quality of coal, as a matter of policy.
“A number of private operators are already into coal washing in the country and the power sector has started using washed coal for power generation, considering its economic and environmental benefits,” he had said.