Coal India is on track with its plan to transport the majority of its coal from pitheads to loading points in an environmental friendly manner with 92 first-mile connectivity projects of 994 million tonnes annual capacity. Coal India (CIL) has set a target of 1 billion tonnes production by 2028-29.
The first mile connectivity (FMC) project from the public sector miner is an automated process for eco-friendly coal transportation using piped conveyor belts. It replaces truck-based transportation to railway sidings and avoids manual loading of coal using pay loaders.
This helps reduce dust, noise and vehicular emissions while also improving wagon turnaround time. An investment of over ₹24,750 crore has been estimated for the implementation of the first mile connectivity projects in phases.
The public sector miner on Thursday said that coal transportation through 20 FMC projects grew 34 per cent in 2024-25 at 102.5 mt, linked with the Indian Railway network. In 2023-24, coal transportation through 17 FMC projects was 76.5 mt. In the current financial year till May, Coal India has already seen a 36.7 per cent growth in coal movement through FMC projects.
Coal India said that in 2025-26, plans are on the anvil to commission 19 FMC of nearly 150 million tonnes annual capacity. “We expect to transport an estimated incremental quantity of 20 mt through FMC projects in the ongoing financial year,” said a senior Coal India official.
Outlining a couple of benefits of FMCs, Coal India said that the increased loading through this route resulted in under loading charges dropping by 5 per cent in 2024-25 compared with the previous year. Also, the grade conformity has increased due to the quality of coal getting loaded and transported in a mechanised manner.
“FMC projects are a win-win for Coal India, its customers and also railways,” the official said.
Environment benefit
Coal India on Thursday said that it has conducted a pilot study through professional agencies to assess potential environmental and economic advantages of loading through FMC projects. The results reflected a sizable reduction in carbon emissions, air pollutants, ambient noise levels and significant savings in diesel costs.
For instance, in case of Gevra (one of the larger mines of Coal India), a 10 mt capacity FMC project, there was a reduction of around 84 per cent particulate matter and other gaseous emissions compared to pay loader loading at sidings, the miner said.
Rail infrastructure
Coal India informed the stock exchanges on Thursday that it has signed a non-binding memorandum of understanding with Indian Port Rail & Ropeway Corporation Limited with the intent of development of rail infrastructure of Coal India and its subsidiaries
