Ministry of Commerce & Industry stated in a latest update today that Coal remains the primary domestic fuel for India as well as the single largest commodity transported across the country; thus the mining, supply and consumption of coal is central to the growth of Indian economy. With the thrust of Ministry of Commerce and Industry on the development of evacuation infrastructure and the work being undertaken by Ministry of Railways, Ministry of Road Transport and Highways and Ministry of Ports Shipping and Waterways in that direction, the production capacity of coal is ahead of its domestic demand. In lines with PM GatiShakti, the development of integrated infrastructure with coordinated efforts by all infrastructure ministries lies at the heart of further augmentation of coal production and evacuation capacity through multi-modal connectivity.
Currently, rail remains the dominant evacuation mode for coal with an aim to expand its modal share from 64% to 75% by FY 2030. To cater to the increased coal dispatch in Chhattisgarh and Odisha, 14 railway infrastructure projects are under implementation in lines with GatiShakti principles. The railway line capacity is adequately addressed for coal transportation up to FY 2026. In order to promote coal production by private companies, railways have also taken steps such as reduction in conversion fee from private siding to private freight terminal from Rs 1 Cr to Rs 10 Lac.
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