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<table border="0" cellpadding="3" cellspacing="1" width="100%" class="forumline"> <tr> <th class="thCornerL" width="22%" height="26">Author</th> <th class="thCornerR">Message</th> </tr> <tr> <td width="22%" align="left" valign="top" class="row1"><span class="name"><a name=""></a><b>cheapbag214s</b></span></td> <td class="row1" height="28" valign="top"><table width="100%" border="0" cellspacing="0" cellpadding="0"> <tr> <td width="100%"><img src="http://picsrv.fora.pl/Aeolus/images/icon_minipost.gif" width="12" height="9" alt="Post" title="Post" border="0" /><span class="postdetails">Posted: Sun 0:58, 25 Aug 2013<span class="gen"> </span> Post subject: Policy hurdles to coal output-spun5</span></td> </tr> <tr> <td colspan="2"><hr /></td> </tr> <tr> <td colspan="2"><span class="postbody">Policy hurdles to coal output <br />The Presidential directive on Coal India Limited (CIL),<a href="http://parajumpersoutletjackets.webmium.com/" target="_blank" class="postlink"><span style="font-weight: bold">parajumpers jackets outlet</span></a>, to go in fuel supply pacts with power producers, displays an element of resolve about the government's part, in removing hurdles towards the Indian growth story. It's quite common knowledge that to guarantee accessibility to cheap powers, India should optimise its domestic production. The expectation is that, having reserve the financial interests of CIL before interest', the federal government will aim to make sure the growth of the beleaguered coal mining sector. <br />Who's to blame CIL, or a want of foresight and coordination one of the ministries concerned? <br />The government has little option besides getting its act together. The coal availability in the country was falling dangerously short of the requirement, was clear as daylight going back 3 years. A latest Fitch report shows that during 2008-10,<a href="http://giuseppezanottisneakerssale.webmium.com/" target="_blank" class="postlink"><span style="font-weight: bold">giuseppe zanotti pumps</span></a>, India added 16 GW (Giga Watt) of thermal power capacity. In comparison, the non-coking coal production grew with a mere 13 million tonnes (mt) annually, enough to fireplace 2.3 GW capacity. <br />It would be fashionable to suggest a finger at CIL for letting the nation down. If measured from the Eleventh Plan (2007-12) target of producing 520 mt of coal annually, CIL ended 2011-12 with a manufacture of 435 mt depriving the country of 85 mt of more coal, or approximately 17 GW of power. In reality, however, the monopoly commercial producer have been consistent in drawing the interest of the Centre towards wider issues like non-availability of environmental or forest clearances; delay in land acquisition and slow pace of advance of coal evacuation facilities by the railways throttling its growth. <br />In an apparent appreciation from the problems, the federal government had also scaled on the Plan Production target by at least 5 times, during the last three years, to 447 mtpa. Based on this revised target, CIL ought to be blamed for neglecting to produce 12 million tonnes of coal annually, adequate to fireplace 2.4 GW of generation capacity, instead of 17 GW. <br />It is often asserted while drafting the National Coal Distribution Policy (NCDP) in October 2007 making only CIL accountable for meeting the demands of the country,<a href="http://rogerviviershoesshoponline.webmium.com/" target="_blank" class="postlink"><span style="font-weight: bold">roger vivier sale</span></a>, if required, through imports the Coal Ministry went by the pattern of past failures of the Power Ministry in attracting purchase of the ability sector. The projections of power sector requirement, it is believed, went wrong,<a href="http://giuseppezanottisneakerssale.webmium.com/" target="_blank" class="postlink"><span style="font-weight: bold">cheap giuseppe zanotti</span></a>, as did the projections on coal output. <br />Coal major opposed the move to assume total responsibility for supplying coal to power producers, on the floor it was contradictory to the captive block allotment policy. In 1993,<a href="http://wheretobuyrogerviviershoes.webmium.com/" target="_blank" class="postlink"><span style="font-weight: bold">roger vivier shoes</span></a>, the federal government distributed 215 captive blocks, on the speedy basis, on the floor that CIL alone couldn't satisfy the growing demand for coal! To put it straight, the NCDP was,<a href="http://parajumpersoutletjackets.webmium.com/" target="_blank" class="postlink"><span style="font-weight: bold">parajumpers outlet</span></a>, in essence, contrary to the basic tenets behind allotting captive blocks. <br />But a key issue, perhaps, is that there is no clear road map for upgrading national coal production either. <br />Everybody knows the significance of comprehensive likely to develop mining assets, much more in India, where review of an application for forest clearance normally takes as much as three years, and key rail link projects for evacuation of coal, take as many as 10-15 years to complete. In an emergency measure, first in 1992, and then again at the start of the final decade, CIL was asked to identify the idle blocks. Assets were offered to industry, largely the ability sector, free of cost, without many strings attached. <br />The result is telling on the utilisation ratio. A total of 28 billion tonnes of captive reserves produce 40-45 mt coal nearly 60 per cent short of the initial Eleventh Plan target. Most of the blocks,<a href="http://parajumpersoutletjackets.webmium.com/" target="_blank" class="postlink"><span style="font-weight: bold">parajumpers vest</span></a>, offered on the first-come-first-served basis between 1993 and 2004,<a href="http://peutereyjacketsuppliers.webmium.com/" target="_blank" class="postlink"><span style="font-weight: bold">Peuterey outlet</span></a>, are yet to come into production. Citing non-performance of the captive segment and the responsibilities placed on the organization by NCDP, CIL wrote to the Coal Ministry in 2007, for the return of 138 blocks awaiting distribution to captive users. No decision has been drawn in this regard as yet. <br />The slow pace of asset utilisation in the captive segment strengthens the theory there was little or no cohesive approach between different ministries from the government for providing growth of coal output. <br />Its northern border Karanpura coal reserve in Jharkhand, spreading across 100 kilometres from Ranchi to Hazaribagh, is a case in point. While the Coal Ministry washed its hands of it by distributing nearly 28 blocks, most of them to captive users, for pretty much Fifteen years, the area couldn't link with a rail link. While Railways cite non-availability of due clearances from the Ministry of Environment and Forests for that delay, the ability Ministry does its part by turning heat on the coal ministry for providing necessary coal supplies to power producers. <br />Apparently, the government might take the easiest way out by passing the buck to CIL, as they did while drafting NCDP. Which, perhaps, requires strengthening the reason for corporate governance at CIL, out of the box raised through the Children's Investment Fund Management (TCI). <br />The CIL board should explain the explanation behind issuing letters of assurance towards the 50-odd power stations, as per the recommendations from the Standing Linkage Committee,<a href="http://rogerviviershoes.webmium.com/" target="_blank" class="postlink"><span style="font-weight: bold">Roger vivier</span></a>, in 2008. It was these letters that will certainly be changed into firm pacts. <br />The federal government should answer why the fuel supply pacts shouldn't include transport commitment from railways, as was originally proposed in NCDP. <br />Until that occurs, CIL should go ahead and take easy way to avoid it, to maintain penalties for non-fulfilment of FSA commitments low, and divert the coal to e-auction, so as to create a net profit more than the payment of penalties. 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