Coal India wants to be in complete charge of exploring coal-bed-methane and shale gas, alongside its mining activities, in its leasehold area.
The company Chairman S. Narsing Rao expressed concern over multiple agencies being granted permission to explore in its reserves. He was responding to queries from media persons after the company's board meeting here on Wednesday.
“There are operational and safety issues in allowing multiple agencies to carry out operations in the same coal field. And, given an opportunity we would like to explore the gas resources available in our lease hold area within the existing regulatory guidelines,” he told
Commenting on CBM he said, “If we get a go-ahead, the existing regulatory regime on marketing and pricing should be applicable to us.” There is a proposal to allow CIL to explore CBM in its lease hold area. However, it is yet to get the Cabinet nod. The shale gas exploration policies are yet to be framed.
Meanwhile, in an effort to address concerns expressed by coal consumers about quality of CIL supplies, the miner is now planning to appoint an independent agency for quality certification.
Quality certification
“We will appoint a third party for sampling and quality check of coal. The agency will be an alternative for joint sampling that we currently do with all the (large) customers. We will invite bids to appoint an international agency in this regard, within two-three months,” Rao told newspersons.
No change in FSA
According to Rao, there will be no change in the draft fuel supply agreement (FSA), cleared by its board in September.
This means power major NTPC has to go back on its demand for continuation of pre-April 2009 FSA terms for capacities added as brownfield expansion during the last three years.