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Coal

Coal reserves of 16027.07 million tonnes are spread over in the district of Sidhi, Shahdol, Umaria, Betul, Chhindwara, and Narsinghpur ; which is 7.71% of total Coal reserve of country. Subsidiary companies of Coal India Limited namely, NCL (Northern Coal Field Limited) is working in the Sidhi district, WCL (Western Coal Field Limited) in the Chhindwara and Betul districts and SECL (South Eastern Coal Field limited) in the Shahdol and Umaria districts. The Gotitoriya coal block of Narsinghpur district has been leased out to M/S BLA Industries for captive power generation.  The country's thickest coal seam viz Jhingurda ; which is 135 m thick, occurs in the  Singrouli Coal Field of Northern Coal Field Limited.

Coal Bed Methane

Coal Bed Methane (CBM); a natural gas occurring in coal seams, is a new source of energy in the country. With a view to exploit this new potential, Government of India has formulated a policy for CBM exploration and exploitation. Out of seven blocks identified by the Government of India, Ministry of Petroleum and Natural Gas, three blocks namely Sohagpur East, Sohagpur West and Satpura (Pench-Kanhan) falls in the State of Madhya Pradesh. Under CBM-I Government of India has awarded  two bocks namely Sohagpur East and Sohagpur West, located in Shahdol district,  with an area of about 495 sq km and 500 sq km respectively to Reliance Industries Limited. Under CBM-II, two more blocks namely, Sonhat (Noth) with an area of 80 sq.km. in Sidhi district and ST-CBM BLOCK falling in Satpura Coal Fields covering an area of 714 sq.km.  have been awarded to M/S Reliance Industries Ltd. and M/S Oil and Natural Gas Corporation respectively. The Government of India, under the CBM-III Round of International Bidding has identified 10 blocks to offer in different coalfields around the country. Out of these 10 blocks, two blocks fall in the state of Madhya Pradesh in Sohagpur and Singrauli coalfields of  Shahdol and Sidhi District, covering an area of 609 and 330 sq km respectively.

CBM being  a natural gas, royalty at 10% of value of gas would be payable to the State. Thus this will be a new source of revenue to the State. The exploitation of this new energy  source apart domestic energy availability is expected to boost economic activity of concerned areas leading to other benefits. 

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