Hong Kong, Aug 3 (IBNS) Union Coal Minister Sriprakash Jaiswal on Friday said that India is making all efforts to boost up growth in energy sector.
"Modernisation and technology upgradation plans are in pipeline to achieve desired growth in coal production. Foreign investors can participate in these efforts by making investment in coal mining and related infrastructure," he said.
He was addressing foreign investors at Hong Kong on Friday at a meet organized by Infrastructure Development Financial Corporation Ltd.
The minister is heading a delegation comprising senior official of his Ministry and Chairman CIL, for road shows at Singapore and Honkong to attract foreign investors in infrastructure development in India.
Jaiswal briefed the investors about the efforts being made by India to accelerate its economy by making more investment in infrastructure sector like Power, Railways, Roads, Shipping, Civil Aviation and Coal.
He said that in order to achieve the set targets of additional 18,000 megawatt capacity of power generation in 2012-13; about 580 million tonnes coal will be available from domestic sources during the current financial year itself.
Jaiswal said that Prime Minister Manmohan Singh himself has been reviewing the status of progress of the set targets in various sectors particularly new airports and up-gradation of dedicated Freight Corridors, ports and highways.
He highlighted the efforts being made to create congenial environment for investors enabling achievements of the cumulative targets in developing the infrastructures in the shape of `Public-Private Participation`.
India needs about 1 trillion US $ over the next five years for developing infrastructures and the Government is well aware that such a huge investment is possible only when sentiments of the investors are taken care of, he added.
While briefing about the public and private participation in coal sector in India, Jaiswal apprised the investors about availability of huge coal reserves in India, which continues to be the main source for increasing need for power generation.
He mentioned that since 1993, the Government of India allowed coal mining for end-use by public and private sector players, particularly for power generation and for consumption at iron, steel, cement plants etc. This has resulted in huge expectations of addition of power generation and iron & steel production capacity.
The Government also allocated coal blocks for Coal Gasification and Coal to Liquid. Large numbers of coal blocks are being developed for production by such players, the minister said.
Coal India Ltd., is the largest coal producing Government Company in India has also gone in the share market by disinvested its 10% of the shares .
CIL continues to do well with its rising turn-over and profit margins year after year, he said.
The current level of coal production of 580 million tonnes expected during the current year is likely to shot up to 780 million tonnes by 2016-17. Still efforts are needed to have huge investments that would yield results and benefits to the nation and the investors as well. Coal sector in India holds tremendous promising avenues for the investors in safe environment.
The minister is accompanied by Alok Perti, Advisor, Ministry of Coal, Pradip Singh, MD, IDFC and Shri S. Narsing Rao, Chairman, Coal India Ltd.