In an interview with Manish Gupta, the outgoing chairman of Coal India (CIL), Pramod Agrawal emphasized the continued importance of coal as the mainstay for thermal power in India for the next two decades. CIL has set an ambitious target of producing 1 billion tonnes (BT) of coal by the fiscal year 2025-26, building on their previous year's output of 703 million tonnes (MT) with an 81 MT increase. Agrawal expressed confidence in achieving this target if the demand for coal persists and the market can consume it. CIL aims to substitute 100 MT of coal imports and even commence exports in the upcoming fiscal year.

Regarding India's commitment to net zero emissions, Agrawal stated that coal will remain indispensable for at least the next two decades. He explained that achieving net zero emissions would require abandoning the use of coal and fossil fuels, a transition that is unlikely to occur within the next two decades. However, CIL is actively working to reduce its carbon footprint by implementing energy-efficient measures, exploring technologies that minimize environmental impact, and pursuing solar power generation. They plan to establish 3,000 MW of solar capacity by 2025-26, with 350 MW already in the pipeline. Additionally, CIL has increased plantation in mining areas and is focused on reducing the reliance on coal imports, particularly for non-coking coal.

Agrawal highlighted CIL's achievements in recent years, including substantial production, off-take, and supplies to power plants, as well as significant capital investment. He acknowledged the challenges of acquiring land, obtaining green clearances, addressing local law and order issues, and resettling land losers. Internally, CIL aims to improve mechanization, digitization, operational efficiency, coal quality, and reduce the environmental impact.

Regarding coal exports, Agrawal mentioned that while there are no immediate plans for this year, CIL may consider exporting to nearby countries by the fiscal year 2024-25, depending on demand and requirements. As for increasing coal production from underground mines, CIL aims to scale up underground (UG) production due to its eco-friendliness and higher-grade coal. They have set a target of four-fold UG production increase to 100 MT by FY28 and are focused on introducing mass production technologies and outsourcing to contractors.

Agrawal expressed confidence in CIL's competitiveness, citing their favorable stripping ratio, skilled workforce, established infrastructure, operational efficiency, and reliable supply chain. He viewed private players as complementary to CIL's efforts, replenishing additional quantities of domestic coal and reducing the import burden.

Overall, Agrawal's vision for CIL involves meeting India's coal demands while striving for environmental sustainability and operational excellence.