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Central Coalfields pitches for transporting coal by rail

The nation could save Rs 12,000 crore annually, besides cutting down green house gas emission, if coal is transported by rail instead of trucks in command areas of Central Coalfields Limited, a top CCL official said here today.

"It takes Rs 5-5.50 per km per tonne coal to transport by trucks while it's Rs 1.30-1.50 by rail transport -- a difference of Rs 4," CCL Chairman-cum-Managing Director Gopal Singh said here.

Speaking during the signing of an MoU among the Coal Ministry the Railway Ministry and the Jharkhand government for a rail project in the command area of CCL, Singh said the maximum expenditure was made by power plants and savings of a huge sum would translate into cheaper tariffs.

Currently, 80 MT tonne coal are being transported by trucks, and completion of the rail tracks would help raise it up to 150 MT, which would also increase in coal royalty, the CMD reasoned.

Apart from these benefits, he added that health hazards to villagers  would also come down after switching over to the railway transport from diesel trucks.

"The railway balance sheet will also strengthen," Singh added.

Union Minister of State for Energy, Renewable Energy and Coal Piyush Goyal, Minister of State for Finance Jayant Sinha, Minister of State for Rural Development Sudarshan Bhagat and other senior government officials attended the MoU-signing ceremony.

source: http://economictimes.indiatimes.com