PIB Summaries 22 July 2025

Content :

1. Efforts to Reduce Coal Import Dependency
2. SASCI Scheme of the Ministry of Tourism

Efforts to Reduce Coal Import Dependency

Despite being the world’s second-largest coal producer, India imported 243.62 MT coal in FY 2024–25—highlighting strategic and sectoral gaps in domestic supply, especially for coking coal and coastal power plants.

To reduce this dependency, the Government has launched policy reforms, production-linked incentives, and infrastructure upgrades, aiming for a 1.5 BT domestic production target by FY 2029–30 and significant foreign exchange savings.

Relevance : GS 2(Governance),GS 3(Infrastructure – Energy Sector)

Policy-Level Measures to Reduce Coal Import Dependency

• Enhanced Annual Contracted Quantity (ACQ):
  ACQ raised to 100% of normative requirement (from 90% for non-coastal & 70% for coastal plants), increasing domestic supply and reducing import dependence.
• Full PPA Fulfilment via Domestic Linkages (2022):
  Coal companies mandated to meet full Power Purchase Agreement (PPA) needs of existing linkage holders, irrespective of ACQ/trigger level—ensures steady domestic coal for power plants.
• Non-Regulated Sector (NRS) Linkage Reform (2020):
  Coking coal linkage tenure extended to 30 years under NRS linkage auction—boosts domestic usage and import substitution.
• Import Regulation via CIMS (2020):
  Import category revised from “Free” to “Free with compulsory registration” under the Coal Import Monitoring System (CIMS)—enables import tracking and policy response.
• Import Substitution Strategy (2020 onwards):
  Inter-Ministerial Committee constituted; Strategy Paper on Coal Import Substitution released—focus on replacing substitutable imports through domestic supply.

Sector-Specific Interventions

• Steel Sector – New Coking Coal Policy (2024):
  • Sub-sector created: “Steel using Coking Coal through WDO Route” under NRS auctions.
  • Enhances washed coking coal availability; promotes domestic coking coal consumption.
• Coking Coal Mission:
  Launched to enhance domestic supply for steel sector—focus on exploration, production, washing infrastructure.
• Imported Coal-Based (ICB) Power Plants – SHAKTI Policy 2025:
  • ICB plants now eligible for coal under Revised SHAKTI Policy, reducing import reliance.
  • Also allows existing FSA holders to procure coal beyond ACQ under same policy—ensures domestic supply elasticity.

Coal Production Boost: Strategic & Legal Reforms

• Mines and Minerals (Development and Regulation) Amendment Act, 2021:
  Captive coal mine owners (non-atomic) allowed to sell up to 50% of their production in open market after end-use needs are met.
• Commercial Coal Mining (2020 onwards):
  • Revenue-sharing model with rebates for early production (50%)
  • Rebates also for coal gasification/liquefaction
  • 100% FDI allowed via automatic route
  • Transparent bidding & liberal terms (no usage restriction, low upfront fees)
• Single Window Clearance + Project Management Unit (PMU):
  Fast-tracks environmental and statutory approvals for operationalizing coal blocks.

Company-Level Steps to Enhance Domestic Production

• Coal India Ltd (CIL):
  • Tech Adoption in UG mines: Continuous Miners (CMs), Longwall (LW), Highwall (HW)
  • OC mines: High-capacity HEMM, Surface Miners, Excavators, Dumpers
  • Digital Mining Pilots in 7 mega mines
• Singareni Collieries Co. Ltd (SCCL):
  • Focus on permissions & infrastructure (CHPs, Crushers, Weigh Bins) for faster production & evacuation.

Impact Assessment

• Import Reduction (FY24–25):
  • Coal Imports:
    • FY 2023–24: 264.53 MT
    • FY 2024–25: 243.62 MT
  • Reduction: 20.91 MT
  • Forex Savings: ₹60,681.67 Crores in FY 2024–25
• Current Import Share:
  Most coal demand met indigenously; imports limited to non-substitutable or essential grades (e.g., low ash coking coal).

Future Vision & Infrastructure

• Coal Logistic Plan & Policy (Feb 2024):
  • Focus: Build infrastructure for efficient coal evacuation.
  • Goal: Handle projected 1.5 Billion Tonnes domestic production target by FY 2029–30

Conclusion: A Shift Toward Coal Aatmanirbharta

India is executing a multi-pronged strategy:

• Policy flexibility (ACQ/PPA/auction reforms)
• Technological modernization (UG/OC mines)
• Legal enablement (MMDR 2021, SHAKTI 2025)
• Infrastructure alignment (evacuation planning)

Target: Minimize non-essential coal imports and maximize self-reliance by FY 2030.

SASCI Scheme of the Ministry of Tourism

Objective & Strategic Vision

• Purpose:
  Transform iconic Indian tourist destinations into globally competitive tourism hubs by supporting capital investment projects by State Governments.
• Core Goal:
  Enhance end-to-end tourist experience, enable sustainable development, and drive brand India tourism internationally.

Relevance : GS 2(Governance ) , GS 3(Tourism – Economic Development)

Key Features of the SASCI Scheme

• Funding & Implementation:
  • Central financial support under SASCI scheme until 31st March 2026.
  • Implementation responsibility lies with State Governments.
  • Projects must be completed within 2 years of sanction.
• Selection Criteria for Projects:
  • Evaluated on parameters like:
    • Connectivity
    • Tourism ecosystem
    • Carrying capacity
    • Sustainability (ecological + operational)
    • Marketing plans
    • Impact & value creation
• Value Chain Approach:
  Strengthening all stages—from infrastructure, tourist experience, capacity building to branding and maintenance.

Promotional Strategy

• Ministry actively promotes SASCI projects and Indian tourism destinations:
  • Through social media, web platforms, global expos, and domestic outreach.

Data Snapshot: FY 2024–25 SASCI Sanctions

• Total Projects Sanctioned: 36
• Total Sanctioned Cost: ₹3,295.76 crore
• Project Range: From eco-tourism and spiritual circuits to MICE infrastructure, underwater museums, and urban heritage redevelopment.

State-Wise Notable Projects (Examples)

Thematic Clusters (Across India)

• Eco-Tourism & Lakes:
  • Ashtamudi (Kerala), Umiam Lake (Meghalaya), Tilaiyya (Jharkhand), Loktak (Manipur)
• Spiritual & Cultural Tourism:
  • Bateshwar (UP), Shrawasti (Buddhist Circuit, UP), Bhaghat Singh Heritage Street (Punjab)
• Adventure & Nature:
  • Pasighat (Arunachal), Nathula Border (Sikkim), Garden of Flowers (TN)
• MICE & Convention Hubs:
  • Bhopal, Mawkhanu (Meghalaya), Dhordo (Gujarat), Raipur (Chhattisgarh)
• Heritage Conservation:
  • Gandikota (AP), Jalmahal & Amber (Rajasthan), Rang Ghar (Assam)

Strategic Outcomes Expected

• Tourism-led job creation in Tier-2/3 cities and rural belts.
• Improved global competitiveness of India’s tourism offering.
• Strengthened State-Centre tourism federalism.
• Increased tourist footfall, domestic and international.
• Boost to India’s cultural diplomacy and soft power.

Looking Ahead: Targets & Alignment

• Timeline Alignment:
  Schemes align with India’s Vision @2047 tourism goals & G20 heritage tourism push.
• Convergence Potential:
  SASCI could align with:
  • Swadesh Darshan 2.0
  • Dekho Apna Desh
  • PM Gati Shakti (for connectivity support)