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The Cabinet Committee on Economic Affairs (CCEA), led by Prime Minister Shri Narendra Modi, has granted approval for the continuation of the “Exploration of Coal and Lignite” scheme. This Central Sector Scheme is estimated to incur an expenditure of Rs. 2980 crore from 2021-22 to 2025-26, aligning with the 15th Finance Commission cycle.
The scheme focuses on the exploration of Coal and Lignite through two main stages: Promotional (Regional) Exploration and Detailed Exploration in Non-Coal India Limited (CIL) blocks.
For Promotional (Regional) Exploration, an allocation of Rs. 1650 crore has been approved, while Rs. 1330 crore has been sanctioned for Detailed Drilling in Non-CIL areas. The Regional exploration will cover an estimated area of 1300 sq. km, while the Detailed exploration will encompass approximately 650 sq. km.
Exploration for Coal and Lignite plays a crucial role in establishing the available coal resources in the country and aids in the preparation of detailed project reports for initiating coal mining operations. The geological reports generated from these exploration activities are utilized for auctioning new coal blocks, and the associated costs are subsequently recovered from the successful allocatee.
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