Captive Blocks : Major Bottlenecks –
Land, Environment / Forest Clearances
4th Coal Summit 2012
BP Singh
Director (Projects), NTPC Ltd.
29 MARCH 2010
19.11.2012
PRESENTATION OUTLINE
Power & Coal Sector Scenario
Mine Development – The Key Processes
Major Issues / Bottlenecks in Mine Development :
Land Acquisition, Forest & Environment Clearances
Strategies For Dealing with Bottlenecks
Power Sector Scenario
INSTALLED CAPACITY
• All India total generation capacity
• Coal Based Generation capacity
• Capacity addition achieved during XI Plan
• Coal based Capacity addition
2,09,276 MW*
1,20,103 MW (about 57 %)
57,964 MW
48,540 MW (> 83%)
PROJECTED CAPACTIY (Figs in GW)#
• Terminal Year
2017
8% GDP Growth Rate
306
9% GDP Growth Rate
337
2027
575
685
2022
425
488
2032
778
960
As per Approach Paper for 12th Plan, capacity addition target is 88425 MW, out of which 71228 MW
through Thermal, 11897 MW from Hydro & 5300 MW from Nuclear.
Dependency on Coal will continue as the primary & most reliable
source for power generation in India.
*Figures as on 31.10.2012 (Source – CEA Report)
# As per Integrated Energy Policy
Capacity Addition & Coal Requirement
180000
159294
160000
Installed Capacity (MW)
140000
144389
165954
900
842
800
737
125414
120000
100000
165374
650
572
700
600
500
515
80000
400
60000
300
40000
200
20000
100
0
Coal Requiremnt (Million Tonnes)
Capacity addition vis-a-vis coal requirement in 12th plan
Installed
Capacity
(MW)
Coal
Requirment
0
2012-13 2013-14 2014-15 2015-16 2016-17
YEAR
At the end of 12th plan, coal-based installed capacity of 165954
MW envisaged with coal requirement of 842 million tonnes.
Coal Demand-Supply Scenario in the Power Sector
(Fig in Million Tonnes)
S.No
Details
a)
Indigenous coal requirement
b)
Indigenous coal availability from :
2012-13
2016-17
455
842
i)
CIL
347
415
ii)
SCCL
35
35
25
100
402
550
iii) Captive mines
c)
Total availability of indigenous coal
d)
Shortfall in indigenous coal availability (a-c)
53
242
e)
Requirement of imported coal to meet the shortfall in
indigenous coal availability
46
168
f)
Requirement of imported coal for imported coal based
projects
24
40
g)
Total requirement of imported coal (e+f)
55
208
More emphasis required on domestic coal production – Thrust on Captive Mines
Source: CEA / MOP, GOI
Raw Coal Production in India
Very nominal increase in production since last 3 years (Almost Stagnant)
Source: CIL/ MOC, GOI
Captive Coal Block Allocation
Govt. of India allocated coal blocks for Captive Mining since 1993
No. of Coal Blocks, allocated till date
De-allocated till date
218
29
Bank Guarantee deducted
Coal production commenced in about 30 blocks and peak production
capacity reached only in 9.
‘Delay in development’ is the reason for de-allocation as cited by MOC.
Coal block development schedule of MOC needs a re-look and be made REALISTIC.
Source: MOC
5
Mine Development – Key Processes
•
Detailed exploration and preparation of GR
•
Mining Plan preparation and approval
•
Land Acquisition
•
Obtaining of Statutory Clearances
•
Infrastructure Development
•
OB Removal & Coal Production
Stages in Development of Coal Mine
STAGE - I
STAGE - II
PLANNING / FEASIBILITY
OBTAINING CLEARANCES
• Forest Clearance
• Exploration / Preparation
of Geological Report
• Environment Clearance
• Surface Master Plan
• Conducting Studies
- Hydrogeological studies
- Socio Economic studies
- Transport studies
- Environmental studies
• Mining Plan - Approval
LAND ACQUISITION AND
REHABILITATION &
RESETTLEMENT OF PAP’s
•
•
•
•
•
Issuance of Notifications
Calculation of Compensation
Disbursement of Compensation
Rehabilitation Action Plan
Physical Possession of Land
& Rehabilitation of PAP’s
CREATION OF
INFRASTRUCTURE
• Rail Link
• Coal Handling Plant
• Approach Roads
MINE DEVELOPMENT
•Removal of OB
•Coal Production
• Land Requirement
• Applications for Clearances
STAGE - III
APPOINTMENT OF MDO
Exploration in India
With Regional, Promotional and Detailed Exploration by GSI, CMPDI, SCCL etc., the
estimation of coal resources of India reached to 285 Bt.
Estimates of coal resources during last 6 years :
in Million Tonnes
Reserves
as on
Geological Resources of Coal
Proved
% Increase
Indicated
Inferred
Total
% Increase
1.4.2011
114001
3.8
137471
34389
285862
3.2
1.4.2010
109798
3.7
130654
36358
276810
3.5
1.4.2009
105820
3.9
123470
37920
267210
1.0
1.4.2008
101829
2.7
124216
38490
264535
2.7
1.4.2007
99060
3.3
120177
38144
257381
1.6
1.1.2006
95866
119769
37666
253301
Govt of India may put more thrust on enhancement of rate of exploration.
Source: MOC, GOI
Detailed Exploration
• As per the guidelines for detailed exploration, boreholes to be drilled in 400
meters interval.
• In case of detailed exploration in forest area, at present 20 nos. of boreholes
allowed in 10 Sq. Km. area.
• For meaningful Geological Report, at least about 8 nos. of boreholes per Sq.
Km. area required.
MOEF may allow drilling of 8-10 nos. of boreholes / Sq. Km. in forest area
without requirement of forest permission.
Local resistance during exploration - State support is of utmost importance.
Main Bottlenecks in Captive Mine Development

Huge time being taken in obtaining of
- Forest Clearance
- Environment Clearance

Land Acquisition – problematic

Lack of coal transportation infrastructure
Forest Clearance – Long Process
Forest Clearance – Cumbersome Process
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
Estimation of Land Requirement
Application to Nodal Officer/PCCF/DFO for Forest Diversion
Survey of forest area, Enumeration of trees and demarcation of Forest land
NOC from Village Advisory Committee / Gram Samittee
NOC on jungle-jhari land / Revenue forest by State Govt.
NOC under FRA-2006
DGPS survey & its authentication by State Bodies like ORSAC (in Odisha)
Processing of Forest proposal : DFO - CF - CCF/RCCF - PCCF - Secy (Forest) State Govt - MoEF,
New Delhi
Site Inspection by Regional office of MOEF – Submission of Report to MOEF, New Delhi
Presentation to Forest Advisory Committee of MOEF by AIG (Forest)
Approval of FAC recommendation by Hon’ble Minister of Env. & Forests
Stage-I forest clearance by MoEF, Delhi
Demand note from DFO for NPV of trees & Compensatory Afforestation - Payment by block
allocatee, Identification of land for compensatory afforestation
Submission of compliance report of Stage-I clearance to DFO - CF - CCF/RCCF - PCCF - Secy
(Forest) State Govt - MoEF, New Delhi
Processing of Stage-II proposal at MOEF – approval by IG / DG, Forests
Stage-II clearance from MoEF
Order by DFO/RCCF to start demarcation of forest land, Safety zone and CA areas
Approval of State Forest Deptt. to start tree felling and transportation of tree logs
MOC schedule stipulates 6 months to complete all these activities –
Unrealistic in present scenario
Forest Clearance - Factors contributing to Delay

Issuance of “No-Objection Certificate” on jungle-jhari by Dist Admn.

Issuance of “No-Objection Certificate” on Forest Rights Act by Dist Admn Conductance of Gram Sabhas & certification of its proceedings.

Old / not updated land records / forest records, Mismatch of habitants /
persons in actual possession of the forest land, wrt available land records.

Involvement of number of Central / State Government departments and slow
processing of proposal at State Forest Dept. and MOEF.

Site inspection & submission of inspection report by Regional Office of MOEF
to MOEF, New Delhi.

Non-availability of alternate land for compensatory afforestation.
NTPC’s experience in forest clearance
PakriBarwadih
Chatti- Kerandari
Bariatu
Important Pre-requisites
Talaipalli
Dulanga
*
Time taken in months
Approval of Mining Plan
7
7
11
4.5
9
NOC on jungle-jhari
26
22
32
28
NA
Process
Time taken in months
Processing of Stage I proposal
by State Govt.
5
8
9
7.5
-
Site inspection and forwarding
of report to MOEF
7
4
7
3
-
FAC meeting and Stage I
approval
9
4
2
5
-
Stage II clearance
4
9
-
-
-
Clearance for tree felling
6
-
-
-
-
* NTPC lost 13 months for Dulanga coal block due to ‘No-Go’ area issue.
Forest Clearance – Suggested Measures
•
Regular updation of land and forest records.
•
Creation of land data bank by Forest Dept. in advance for Compensatory
Afforestation.
•
State Forest Department need to process the proposals within strict
timelines.
•
Process repetition like site inspection by PCCF as well as Regional Office of
MOEF, etc. may be avoided.
•
More number of Forest Advisory Committees (FACs) may be constituted
by MOEF.
Environment Clearance - Flow Chart
Site Clearance /
TOR
Geological
Report
Mining plan
Submission to
SPCB
Public Hearing
NOC from SPCB
Preparation of
EIA/EMP
Submission of
Comprehensive
EIA/EMP along
with Schedule II
Performa to
MOEF
Approval
Engagement of
Agency
Clearance
by Expert
Committee
Stage I Forest
Clearance
Environment
Clearance
MOC schedule stipulates 6 months to complete all these activities – Unrealistic in
present scenario
NTPC’s experience in environment clearance
PakriBarwadih
ChattiBariatu
Kerandari Talaipalli
Key processes causing delays
Dulanga
Time taken in months
Conductance of public hearing
and NOC from SPCB
19
6
38
7.5
3
EAC meeting and grant of
clearance
21
17
21
10 *
18 *
* In-principle clearance accorded – final clearance after Stage-I forest clearance
Environment Clearance – Suggested Measures
• State Pollution Control Board may act in time-bound manner –
• Public Hearing
• Report submission
• Some sort of environment clearance for cluster of coal blocks may be
thought of.
• MOEF may consider more number of Expert Appraisal Committees
(EACs).
Land Acquisition – Factors contributing to Delay
•
Processing of proposals / issuance of notifications and disbursement of
payment by State Govt. / District Admn.
•
Non-availability of land records / very old records with Dist Admn.
•
Inadequate manpower at Block / Dist. level.
•
Slow processing of Govt. land proposals at various level of State Govt.
•
Absence of Policy for dealing with encroachers of less than 30 yrs.
•
Approval of R&R Plan by State Govt.
•
Local resistance - Law & Order situation
•
Non-standardization of procedures – varying from State to State.
Land Acquisition – Suggested Measures
•
Specialized land acquisition department / agencies by State Governments
may facilitate land acquisition process such as IDCO in Odisha, MSIDC in
Maharashtra.
•
Special land acquisition cell at Dist. level.
•
Uniform R&R Policy for Coal Mining.
•
Regular updation of land records, digitization. Databank of land for public
purposes. Maintenance of comprehensive and intelligent map database.
Instant production of Cadastral maps of any scales, themes and sizes.
•
Processing of land proposals – e-filing.
Mining Industry can grow only with active support & involvement of State Govt.
Infrastructure Development
•
Most of the major coalfields not connected with Railway infrastructure.
•
Development of Railway infrastructure takes huge time – facing with issues
like forest clearance, land acquisition, law & order situation, etc.
•
Support of State Govt. lacks in creation of rail as well as road
infrastructure.
•
Obtaining of non-coal bearing area clearance troublesome.
Some suggestions :
• Expeditious development of Rail / Road with State support
• Dedicated freight / coal corridor
• Master Network before allocation of coal blocks with firm plan for
Rail corridor.
Captive Mining in India to excel
To sum up ……..
Conclusion
• Active support & involvement of respective State Govt.
• MOC considering ‘Reserve Price’ for coal blocks – Milestone-based payment
to State Govt.
• Special thrust of State Govt. for land record updation & digitization.
• Expeditious Environment & Forest clearances – Process simplification, Cut
short process repetitions, Single-window approach, more nos. of FACs, EACs.
• Infrastructure Development :
• Expeditious development of Rail / Road with State support
• Dedicated freight / coal corridor
• Master Network before allocation of coal blocks with firm plan for Rail
corridor.
• Special Task Force for monitoring the project implementation.
• Adoption of latest technology & best practices in Mining (UG & deep OC),
deployment of high capacity HEMM, indigenous manufacturing.
• Incentive to captive coal mines to maximise production & to allow sale of
surplus coal to other power generators after meeting own coal requirement
for the life of the project.
Thank You