2006 Coal India
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Coal Mining in India
Piers Fennell Derek Wilson
HISTORY OF INDUSTRY HEALTH & SAFETY ISSUES ENVIRONMENTAL ISSUES FUTURE OF COAL IN INDIA
History - Timeline •
First Indian mining operations begun in 1774.
•
Development of steam engine in 1850’s spurred coal demand.
•
World War I created another surge in demand.
•
National Coal Development Corporation (NCDC) – 1956 formed.
•
Steel industry growth in 1950’s and 1960’s sent coal demand to all time highs.
History Cont’d •
Demand from steel industry led to significant private investment in mining, mostly for coking coal.
•
Growth in private mining led to following comment by then Minister of Steel and Mines: “Rampant corruption, forced labour, dubious and duplicate records, under reporting of production, non-payment of full wages, extended hours of shift without payment of lead or lift, lack of safety and welfare measures…seemed to be the guiding principles of a large number of private collieries…”
•
Nationalization of the industry. – – –
Coking Coal Mines Nationalization Act of 1972 Coal Mines Nationalization Act of 1973 Coal India Ltd
Coal India Limited • • •
Government–owned entity which owns and operates India’s mines. Under Ministry of Coal. 8 mining subsidiaries, 1 mine siting and planning subsidiary.
Source: Coal India LTD.
Coal India Limited • •
World’s largest coal mining company. Responsible for approximately 85% of total Indian production. –
324 million tons in 2005.
1) Eastern Coalfields LTD 2) Bharat Coking Coal LTD 3) Central Coalfields LTD 4) Central Mine Planning 5) Northern Coalfields LTD 6) South Eastern Coalfields LTD 7) Western Coalfields LTD 8) Mahanadi Coalfields LTD 9) North Eastern Coalfields
Source: Coal India LTD.
HISTORY OF INDUSTRY HEALTH & SAFETY ISSUES ENVIRONMENTAL ISSUES FUTURE OF COAL IN INDIA
Health & Safety Issues •
Key risks faced by miners: – – –
•
•
Gas and coal dust exposure. Mine roof and wall collapses. Mine fires.
Fatal and serious accidents have steadily deceased since 1972 (see table). Between 1950-1961 the 10-yearly avg. death rate per 1,000 people employed was 0.91. Between 1991-2000, figure dropped to 0.32. – –
Nationalization in 1970’s. Technological advancements, specifically the mechanization of many tasks in the mining process (i.e. mechanized roof bolting system, long wall miners, etc…).
Year
Fatal Accidents
Serious Accidents
Accidents
Fatalities
Accidents
Injuries
1972
200
217
1534
1616
1975
222
664
2135
2211
1985
176
204
1007
1060
1993
156
176
854
903
1994
156
241
717
775
1995
137
219
757
813
1996
131
146
677
723
1997
143
165
677
725
1998
128
146
523
560
1999
127
138
595
650
2000
117
144
661
707
2001
106
141
667
720
2002
81
97
629
650
2003
83
113
563
578
2004
90
99
599
608
2005
34
35
340
344
Source: Government of India, Ministry of Coal.
Mines Act of 1952 •
Key piece of Indian legislation that regulates health, safety, and welfare of miners.
•
Administered by Directorate General of Mines Safety (DGMS). – –
Falls under control of Ministry of Labour DGMS mission: “Reduction in risk of occupational diseases and casualty to persons employed in mines, by drafting appropriate legislation and setting standards, by overseeing compliance thereof and through a variety of promotional initiatives and awareness programmes creating an environment where safety is given due priority.”
•
Among issues covered by the Mines Act are the following: – – – – –
Appointment of Chief Inspector. On-site medical care. Sufficient potable water within mines. Timely reporting of accidents to Chief Inspector. Right of government to appoint of court of enquiry to look into accidents.
HISTORY OF INDUSTRY HEALTH & SAFETY ISSUES ENVIRONMENTAL ISSUES FUTURE OF COAL IN INDIA
Key Environmental Legislation
• Water Prevention and Pollution Control Act, 1974 (1988) • Forest Conservation Act, 1980 • Air Prevention and Pollution Control Act, 1981 • Environmental Protection Act, 1986 • Mineral Conservation and Development Rules, 1957 (1987) • Mineral Conservation and Development Rules, 1988
Water Prevention and Pollution Control Act, 1974 (1988) •
Initiated the Pollution Control Boards and the Central Pollution Control Board.
•
Power of entry and inspection in industrial establishments and authority to take samples.
•
Empowered to set standards of effluents that may be discharged into water sources.
•
Power to impose penalties for contravention of provisions.
Forrest Conservation Act, 1980 •
Legislation enacted to check deforestation.
•
Prohibits use of forest land for non-forest purposes (including mining) without prior approval of the Central Government.
•
Reforestation or compensatory reforestation is primary condition for approval of proposals for diversion of forest land.
Air Prevention and Pollution Control Act, 1981 •
Act enjoins industry not to discharge emissions of any pollutant in excess of standards established by State Board.
•
Establishes power to inspect and collect samples and vests power with the Central and State Pollution Control Boards.
Environmental Protection Act, 1986 •
Act widens scope of environmental protection activities of Central and State Boards.
•
Prohibits all pollution in excess of standards set by State Board.
•
Requires mandatory environmental audits.
•
Prohibits expansion or modernization of any existing industry or new projects without prior environmental clearance by the Central or State Government.
Mineral Conservation and Development Act, 1957 (1987) •
Act gives Government power to prevent a licensee or lease holder from damaging the environment.
•
Act gives the Government power to require rehabilitation of vegetation, trees, and shrubs destroyed by prospecting or mining.
•
Requires a mining plan to be submitted with an environmental management plan.
Mineral Conservation and Development Rules, 1988 •
Rules administered by the Indian Bureau of Mines, a department of the Central Government under the Ministry of Mines.
•
Requires every mining operation to be in accordance with a mining plan.
•
Requires review of approved mining plans every 5 years.
•
Requires every mine operator to take all possible precautions for protection of environment and control of pollution while conducting any mining activities.
•
Requires that the air, water, and noise pollution levels are within the permissible limits.
Major Environmental Concerns •
Air Quality
•
Water Regime
•
Impact on Land
Air Quality •
Methane and Suspended Particulate Matter.
•
Mine Fires and the Combustion of Coal produces Carbon Dioxide, Sulfur Dioxide, and Nitrogen Oxide.
Water Regime
•
Water Table Lowered and Water Waste.
•
Acid Mine Drainage (AMD). – Water + Sulphide Minerals = AMD. • • • •
Water Contamination. Disrupts growth and reproduction of aquatic plants and animals. Kills fish. Corrosion of mining equipment and structures, such as barges, bridges, and concrete materials.
Impact on Land •
Large scale excavation.
•
Removal of topsoil.
•
Dumping of solid wastes.
•
Creation of derelict land.
•
Subsidence.
•
Noise and vibrations.
Pollution Mitigation •
Dust extractors on drilling equipment.
•
Land reclamation and rehabilitation.
•
Sprinkler systems.
•
Siltation ponds.
•
Effluent Treatment Plants.
•
Removed topsoil utilization.
•
Sewage Treatment Plants.
•
Stoping-in worked out mines.
HISTORY OF INDUSTRY HEALTH & SAFETY ISSUES ENVIRONMENTAL ISSUES FUTURE OF COAL IN INDIA
Future of Coal in India •
Rapid population growth and skyrocketing demand for energy.
•
70% of coal consumption expected to be in electric power sector.
•
In 2003, coal-fired power plants consumed 5.0 quadrillion Btu of coal, representing 69% of India’s total coal demand.
Future Energy Utilization 1999 (281 million tons of oil Equivalent "Mtoe") Nuclear 1%
Coal 56%
Oil 33%
Oil
Gas
Source: International Energy Agency
Nuclear 1%
Hydro 3%
Gas 7%
Coal
2020 (716 Mtoe)
Nuclear
Hydro
Hydro 2%
Gas 16%
Coal 47%
Oil 34%
Coal
Oil
Gas
Nuclear
Hydro
Future of Coal in India •
Coal use for electricity generation projected to grow by 2.7% per year, to 10.3 quadrillion Btu in 2030.
•
Coal-fired generating capacity projected to increase from 67 GW in 2003 to 161 GW in 2030.
Coal to Oil •
Like China, India relies heavily on imported oil to meet demands.
•
Coal-to-liquids (CTL) projects have yet to be developed in India.
•
A CTL industry would represent a viable means of increasing oil supply.
•
Indian Oil Corporation is currently evaluating construction of an 80,000-barrel-per-day coal liquefaction facility.
Piers Fennell Derek Wilson
HISTORY OF INDUSTRY HEALTH & SAFETY ISSUES ENVIRONMENTAL ISSUES FUTURE OF COAL IN INDIA
History - Timeline •
First Indian mining operations begun in 1774.
•
Development of steam engine in 1850’s spurred coal demand.
•
World War I created another surge in demand.
•
National Coal Development Corporation (NCDC) – 1956 formed.
•
Steel industry growth in 1950’s and 1960’s sent coal demand to all time highs.
History Cont’d •
Demand from steel industry led to significant private investment in mining, mostly for coking coal.
•
Growth in private mining led to following comment by then Minister of Steel and Mines: “Rampant corruption, forced labour, dubious and duplicate records, under reporting of production, non-payment of full wages, extended hours of shift without payment of lead or lift, lack of safety and welfare measures…seemed to be the guiding principles of a large number of private collieries…”
•
Nationalization of the industry. – – –
Coking Coal Mines Nationalization Act of 1972 Coal Mines Nationalization Act of 1973 Coal India Ltd
Coal India Limited • • •
Government–owned entity which owns and operates India’s mines. Under Ministry of Coal. 8 mining subsidiaries, 1 mine siting and planning subsidiary.
Source: Coal India LTD.
Coal India Limited • •
World’s largest coal mining company. Responsible for approximately 85% of total Indian production. –
324 million tons in 2005.
1) Eastern Coalfields LTD 2) Bharat Coking Coal LTD 3) Central Coalfields LTD 4) Central Mine Planning 5) Northern Coalfields LTD 6) South Eastern Coalfields LTD 7) Western Coalfields LTD 8) Mahanadi Coalfields LTD 9) North Eastern Coalfields
Source: Coal India LTD.
HISTORY OF INDUSTRY HEALTH & SAFETY ISSUES ENVIRONMENTAL ISSUES FUTURE OF COAL IN INDIA
Health & Safety Issues •
Key risks faced by miners: – – –
•
•
Gas and coal dust exposure. Mine roof and wall collapses. Mine fires.
Fatal and serious accidents have steadily deceased since 1972 (see table). Between 1950-1961 the 10-yearly avg. death rate per 1,000 people employed was 0.91. Between 1991-2000, figure dropped to 0.32. – –
Nationalization in 1970’s. Technological advancements, specifically the mechanization of many tasks in the mining process (i.e. mechanized roof bolting system, long wall miners, etc…).
Year
Fatal Accidents
Serious Accidents
Accidents
Fatalities
Accidents
Injuries
1972
200
217
1534
1616
1975
222
664
2135
2211
1985
176
204
1007
1060
1993
156
176
854
903
1994
156
241
717
775
1995
137
219
757
813
1996
131
146
677
723
1997
143
165
677
725
1998
128
146
523
560
1999
127
138
595
650
2000
117
144
661
707
2001
106
141
667
720
2002
81
97
629
650
2003
83
113
563
578
2004
90
99
599
608
2005
34
35
340
344
Source: Government of India, Ministry of Coal.
Mines Act of 1952 •
Key piece of Indian legislation that regulates health, safety, and welfare of miners.
•
Administered by Directorate General of Mines Safety (DGMS). – –
Falls under control of Ministry of Labour DGMS mission: “Reduction in risk of occupational diseases and casualty to persons employed in mines, by drafting appropriate legislation and setting standards, by overseeing compliance thereof and through a variety of promotional initiatives and awareness programmes creating an environment where safety is given due priority.”
•
Among issues covered by the Mines Act are the following: – – – – –
Appointment of Chief Inspector. On-site medical care. Sufficient potable water within mines. Timely reporting of accidents to Chief Inspector. Right of government to appoint of court of enquiry to look into accidents.
HISTORY OF INDUSTRY HEALTH & SAFETY ISSUES ENVIRONMENTAL ISSUES FUTURE OF COAL IN INDIA
Key Environmental Legislation
• Water Prevention and Pollution Control Act, 1974 (1988) • Forest Conservation Act, 1980 • Air Prevention and Pollution Control Act, 1981 • Environmental Protection Act, 1986 • Mineral Conservation and Development Rules, 1957 (1987) • Mineral Conservation and Development Rules, 1988
Water Prevention and Pollution Control Act, 1974 (1988) •
Initiated the Pollution Control Boards and the Central Pollution Control Board.
•
Power of entry and inspection in industrial establishments and authority to take samples.
•
Empowered to set standards of effluents that may be discharged into water sources.
•
Power to impose penalties for contravention of provisions.
Forrest Conservation Act, 1980 •
Legislation enacted to check deforestation.
•
Prohibits use of forest land for non-forest purposes (including mining) without prior approval of the Central Government.
•
Reforestation or compensatory reforestation is primary condition for approval of proposals for diversion of forest land.
Air Prevention and Pollution Control Act, 1981 •
Act enjoins industry not to discharge emissions of any pollutant in excess of standards established by State Board.
•
Establishes power to inspect and collect samples and vests power with the Central and State Pollution Control Boards.
Environmental Protection Act, 1986 •
Act widens scope of environmental protection activities of Central and State Boards.
•
Prohibits all pollution in excess of standards set by State Board.
•
Requires mandatory environmental audits.
•
Prohibits expansion or modernization of any existing industry or new projects without prior environmental clearance by the Central or State Government.
Mineral Conservation and Development Act, 1957 (1987) •
Act gives Government power to prevent a licensee or lease holder from damaging the environment.
•
Act gives the Government power to require rehabilitation of vegetation, trees, and shrubs destroyed by prospecting or mining.
•
Requires a mining plan to be submitted with an environmental management plan.
Mineral Conservation and Development Rules, 1988 •
Rules administered by the Indian Bureau of Mines, a department of the Central Government under the Ministry of Mines.
•
Requires every mining operation to be in accordance with a mining plan.
•
Requires review of approved mining plans every 5 years.
•
Requires every mine operator to take all possible precautions for protection of environment and control of pollution while conducting any mining activities.
•
Requires that the air, water, and noise pollution levels are within the permissible limits.
Major Environmental Concerns •
Air Quality
•
Water Regime
•
Impact on Land
Air Quality •
Methane and Suspended Particulate Matter.
•
Mine Fires and the Combustion of Coal produces Carbon Dioxide, Sulfur Dioxide, and Nitrogen Oxide.
Water Regime
•
Water Table Lowered and Water Waste.
•
Acid Mine Drainage (AMD). – Water + Sulphide Minerals = AMD. • • • •
Water Contamination. Disrupts growth and reproduction of aquatic plants and animals. Kills fish. Corrosion of mining equipment and structures, such as barges, bridges, and concrete materials.
Impact on Land •
Large scale excavation.
•
Removal of topsoil.
•
Dumping of solid wastes.
•
Creation of derelict land.
•
Subsidence.
•
Noise and vibrations.
Pollution Mitigation •
Dust extractors on drilling equipment.
•
Land reclamation and rehabilitation.
•
Sprinkler systems.
•
Siltation ponds.
•
Effluent Treatment Plants.
•
Removed topsoil utilization.
•
Sewage Treatment Plants.
•
Stoping-in worked out mines.
HISTORY OF INDUSTRY HEALTH & SAFETY ISSUES ENVIRONMENTAL ISSUES FUTURE OF COAL IN INDIA
Future of Coal in India •
Rapid population growth and skyrocketing demand for energy.
•
70% of coal consumption expected to be in electric power sector.
•
In 2003, coal-fired power plants consumed 5.0 quadrillion Btu of coal, representing 69% of India’s total coal demand.
Future Energy Utilization 1999 (281 million tons of oil Equivalent "Mtoe") Nuclear 1%
Coal 56%
Oil 33%
Oil
Gas
Source: International Energy Agency
Nuclear 1%
Hydro 3%
Gas 7%
Coal
2020 (716 Mtoe)
Nuclear
Hydro
Hydro 2%
Gas 16%
Coal 47%
Oil 34%
Coal
Oil
Gas
Nuclear
Hydro
Future of Coal in India •
Coal use for electricity generation projected to grow by 2.7% per year, to 10.3 quadrillion Btu in 2030.
•
Coal-fired generating capacity projected to increase from 67 GW in 2003 to 161 GW in 2030.
Coal to Oil •
Like China, India relies heavily on imported oil to meet demands.
•
Coal-to-liquids (CTL) projects have yet to be developed in India.
•
A CTL industry would represent a viable means of increasing oil supply.
•
Indian Oil Corporation is currently evaluating construction of an 80,000-barrel-per-day coal liquefaction facility.
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