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Coal India allowed to expand underground mining at Jhanjra

The environment ministry has given Coal India the go-ahead to expand the Jhanjra underground mining project in West Bengal, one of the few such proposals in recent years, which will help the state monopoly extract coal worth more than Rs 8,000 crore without destroying forests.

Coal India, under pressure to boost production, depends heavily on opencast mining, which is easier and cheaper, but faces hurdles as it often requires uprooting trees and displacing people. Other countries such as China and Australia use underground mining more than India.

ET has learnt that the Forest Advisory Committee, at a meeting on April 30, approved the diversion of 78 hectares of forest land in favour of Eastern Coalfields Ltd, Coal India's subsidiary, for the Jhanjra underground mining project at Raniganj in West Bengal. "With our densest forests sitting on mineral reserves, it is felt that underground mining is an effective way to permit developmental activity and minimise damage to the forest area.


India has very few underground coal mines as of now but the environment ministry feels this may be an effective answer. In fact, in the last 5-6 years, we got no underground mining project proposals at all," a member of the FAC who declined to be identified told ET.

A former Director General of Forests at the Environment ministry told ET that open cast mining has always been more popular in India as it is less labour intensive and cheaper than underground mining, which requires sophisticated technology.

"Coal India hardly sent us proposals for underground mining. However, not every place is suitable for underground mining," the official, who did not wish to be identified, told ET. The approval for Jhanjra comes when Coal India's underground output faces decline and the coal ministry has asked the PSU to draw up detailed plans to boost output from such mines. Delays in forest clearances have been repeatedly cited for low production.

Pending clearance since 2012, the Jhanjra mine is considerably important for Coal India's expansion plans. Eastern Coalfields is said to be importing a special 'longwall' machine from China. Coal India is also said to be now focusing on underground mines and switching to partial mechanisation for increasing coal extraction from them.

"In the interests of forest protection, underground mining is increasingly advocated everywhere," Sreshta Banerjee, a senior researcher at the Centre for Science & Environment, told ET. "While the high cost factor is one deterrent from going underground, if environment externalities are kept in mind and the other costs of open cast mining are accounted for, underground mining has more in its favour."

The state government also showed renewed interest in the project. While West Bengal has traditionally gone slow on mining projects, in this case, the state government submitted a fresh proposal to the environment ministry on March 5, 2014, requesting forest clearance.

As per the state government's proposal, the total geological coal reserves are 62.22 million tonnes, of which 21.19 million tonnes, or almost 34% of the total, are available. The state said there is good quality coal in this particular forest area, which, if left unexploited, will result in a national loss of .`8,337 crore. Coal India and Eastern Coalfields officials did not respond to ET's emailed queries seeking comment on the forest approval.

Source: The Economic Times