Coal India to energize CBM extraction drive

Source: MILLENNIUM POST

To energise India’s CBM potential, Coal India has initiated the Coal Bed Methane extraction work from coal seams. In a written reply in Rajya Sabha on Friday Union Coal Minister Piyush Goyal mentioned, “The initial activities include assessment of CBM potentiality in subsidiaries of Coal India Limited to delineate CBM/CMM blocks in Damodar Valley Basin.”

The Cabinet Committee on Economic Affairs had approved a policy on exploration and exploitation of CBM areas under a coal mining leases allotted to CIL in December 2013.

CBM blocks initially were carved out by DGH in consultation with the coal ministry and Central Mine Planning and Design Institute (CMPDI). 33 blocks were awarded, which cover 64 per cent of the total available coal bearing areas in 12 states including Andhra Pradesh, Chhattisgarh, Gujarat, Jharkhand, Madhya Pradesh, Maharashtra, Assam, Odisha, Rajasthan, Tamil Nadu, Telangana and West Bengal. Now the state-run miner Coal India Ltd (CIL) has finally initiated a pilot study to extract CBM. The PSU has already engaged experienced developer/ service provider through global tender.

One block has been delineated in Jharia coal-fields in Jharkhand and another in Raniganj coal-fields in West Bengal.

In Jharia coalfield the coal seam is having an area of 24 Sq. Km covers Kapuria, Moonidih, Jarma, and Singra blocks. Besides, in the Raniganj coalfield the coal seam is having an area of 57 Sq. Km covers Sripur, Satgram and Kunustoria areas.

In addition, the written reply from the coal minister also mentioned, “On receipt of modified guidelines from MoP&NG considering exemption of applicability of the Oilfield (Regulation and Development) Act, 1948 and Petroleum and Natural Gas Rules, 1959 within the coal mining leasehold areas.”

A year after the NDA government was formed, the oil minister Dharmendra Pradhan asserted that the CBM would contribute 5 per cent of natural gas production by 2017, however PPAC data showed that in 2016-2017 domestic production of CBM contributed to 1.78 percent of India’s total natural gas production of over 31,000 MMSCM.

In the last year the Parliamentary Standing Committee on Petroleum and Natural Gas headed by senior BJP leader Prahlad Joshi had recommended a slew of measures to increase the pace of CBM extraction. This included formulating a new comprehensive CBM policy, reassessment of CBM to be included in DGH’s ongoing reassessment of hydrocarbons, auctioning of new CBM blocks through HELP, formulation of a separate pricing and marketing mechanism for CBM and timely grant of clearances by state governments.

Source: MILLENNIUM POST

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