The decision was taken following a request from the coal minister that pointed to “great pressure on domestic coal supply in the country”, the minister said in a May 7 memo, adding that the “special dispensation” would be in effect for six months.
India also plans to reopen more than 100 coal mines previously deemed financially unviable, as the worst electricity crisis in more than six years, caused by a scorching heatwave, forced the world’s third-largest emitter of greenhouse gases to double. his attempt to use this fuel after months of low consumption.
Projects “will be granted environmental expansion permits to increase their production capacity to 50% of initial capacity within the same mining concession area without requiring a revised environmental impact assessment report for additional capacity and public consultation,” the memo reads.
Demand for coal is increasing due to the post-pandemic economic recovery and the relentless heatwave. The government forced power companies to increase imports and Coal India to increase production to meet supply shortages.
India, the world’s second largest producer, importer and consumer of coal after China, fulfills nearly 75% of its electricity needs with coal.
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