EXPLORATION OF COAL AND LIGNITE SCHEME – ECONOMY

News: Union Cabinet approves continuation of Central Sector Scheme of ‘Exploration of Coal and Lignite Scheme’

 

What is in the news?

       Recently, the Cabinet Committee on Economic Affairs approved the continuation of the Central Sector Scheme of “Exploration of Coal and Lignite scheme”.

 

Exploration of Coal and Lignite scheme:

       The scheme was extended from 2021-22 to 2025-26 co-terminus with the 15th Finance Commission cycle.

       Under this scheme, exploration for coal and lignite is conducted in two broad stages:

       Promotional (Regional) Exploration

       Detailed Exploration in non-Coal India Limited blocks.

       The Nodal ministry is the Ministry of Coal.

 

Types of Coal:

       Anthracite: It contains the highest amount of carbon out of all coal ranks (86%-97%) and it is used mostly in industrial settings and the metals industry due to its high heat value.

       Lignite: it is lighter in colour than the higher ranks of coal. It has the lowest carbon content out of all the coal ranks (25%-35%) and it has a high moisture content and crumbly texture.

       Bituminous: It has slightly lower carbon content than anthracite (45%-86%)1. The wide range of carbon content in bituminous coal warrants uses for both electricity and steel production.

       Peat: It is the starting stage of a coal formation which has low calorific value and low carbon content.