The Coal Trader

Coal India to ramp-up coal transport capacity w/ new rail lines by 2025

State-owned Coal India Limited (CIL) is set to boost its coal transportation network by completing several railway projects by 2025, aiming to increase its coal evacuation capacity in response to the country’s energy demand.

Among the projects, the Tori-Shivpur New BG Double line, running 43.70 km, has been operational since December 2019 and is currently equipped to transport around 65 million tonne per annum (MTPA) of coal. With a third line under construction, expected to be completed by March 2024, the capacity is projected to increase to approximately 100 MTPA.

The Jharsuguda – Barpali – Sardega New BG line, which commenced operations on April 5, 2018, and covers a distance of 52.41 km, is undergoing work to double its capacity. This is anticipated to boost its throughput to about 65 MTPA by December 2023.

Further, CIL reported progress in Chhattisgarh with the East West Rail Corridor where a significant portion of the project has been commissioned. The entire corridor, facilitating the evacuation of around 65 MTPA of coal, is expected to be commissioned by December 2024.

The company also announced the advancement of the CERL Phase – II project, with financial closure achieved and land acquisition and forest clearance in the advanced stages. The project is expected to be commissioned by August 2026.

In Jharkhand, the Shivpur – Kathautia rail connectivity project, a joint venture, has reached 55% completion and is planned to be operational by March 2025, adding about 25 MTPA coal evacuation capacity from the mines of CCL.

These rail projects are integral to CIL’s commitment to bolstering India’s coal supply chain, ensuring a steady flow to power plants and supporting the nation’s energy infrastructure amidst growing demand.