New Delhi: In a bid to optimize resources and bolster efficiency in power generation, the Coal Ministry has directed Coal India Ltd (CIL) and NLC India Ltd to prioritize pithead-based thermal projects, announced Coal Secretary Amrit Lal Meena.

The strategic move aims to curtail transportation costs and streamline access to coal, a vital component in power generation. By situating new thermal projects near coal mines, both CIL and NLC India Ltd intend to minimize reliance on rail and road transportation methods, thereby ensuring a steady and cost-effective supply of coal for power generation purposes.

Highlighting the benefits of this initiative, Secretary Meena emphasized that it would not only slash logistics expenses but also reduce the overall cost of power generation, fostering a more sustainable and economical energy landscape.

Underlining the progress of these endeavors, Meena revealed that Coal India has entered into a partnership with Rajasthan Urja Vikas Nigam Ltd (RUVNL) to establish a significant power generation capacity in Rajasthan. This collaboration will see the construction of 4,100 megawatts of power generation capacity, with a substantial portion dedicated to pithead-based thermal projects alongside pumped storage, wind, and solar energy initiatives.

Furthermore, NLC India Ltd, in collaboration with RUVNL, has embarked on agreements to develop 1,125 megawatts of power projects in Rajasthan, comprising a lignite-based power plant and a substantial solar power installation.

Looking beyond Rajasthan, Coal India is exploring opportunities to establish thermal projects in Uttar Pradesh and Bihar. In Uttar Pradesh, discussions are underway to form a joint venture with the state government for the development of thermal capacities. Meanwhile, in Bihar, the state government has offered approximately 1,000 acres of land for the establishment of a 2,400-megawatt thermal plant, with a focus on pithead-based operations.

Meena emphasized that the feasibility studies for these projects are currently underway, underscoring the commitment of both CIL and NLC India Ltd to diversify into thermal, solar, and wind power generation to meet the evolving energy needs of the nation.