India is running out of coal – that’s the latest news coming out of the sub-continent. The reliance of coal to feed the power stations across India has created a rift between the Indian government and coal companies.
Rife with corruption and illegal deals, you can be sure that the problem in India could create thousands of new jobs in Qld coal mines. The availability of coal in the country has been depleted due to coal scams during previous governments. It was also indicated that the current shortage at coal-powered plants was about 84.71 million mt in the coming year to March 31, 2015.
Job security for existing workers could also be a welcome spin-off from this latest Indian crisis.
The fact is that Indian coal-based power plants are having a tough time keeping up with daily demand and about 50 percent of them only have enough coal to last a week. This was a statement from the Indian minister of state for power, coal and new and renewable energy.
Speaking to the upper house of parliament, Piyush Goyal called upon Indian power utilities such as Adani and GVK to increase coal imports to meet coal shortages. Every single day Indian commerce and industry grind to a halt because the power stations stop working. The situation is dire and something needs to be done about it.
India is running out of coal – fast!
According to Indian authorities, demand for coal-based power next year will require 551.60 million million tonnes of coal, whereas coal supplies are projected to be 466.89 million mt. Indian power stations require a high quality thermal coal to meet the demands of their high-tech power stations across the country.
A total of 44 plants, including the super critical ones, have “critical coal stocks” sufficient for less than a week, with most of these in the state of Maharashtra, which home to India’s financial capital Mumbai. Failure to provide a consistent electricity supply to the financial districts could be catastrophic to their markets.
Huge opportunities in 2014-15 for Queensland coal mining companies
Despite sitting on the world`s fifth largest coal reserves, India is only the third biggest importer of coal, due to delays in securing environmental clearances which is the precursor to adding new mines and the critical infrastructure to transport the coal to where it is needed most.
How Queensland mining jobs could explode
Queensland and indeed the Australian coal industry has a long history with India. Development in the coal-rich areas of Queensland has been targeted by Indian power and energy companies over the last few years.
Adani and GVK are two examples of Indian companies who have their eyes set on the huge coal deposits found in Queensland. Particularly the Galilee Basin, which contains over 30 years of coal just waiting to be dug out of the ground. The coal lies close to the surface, meaning in terms of mining it is relatively cheap to produce. The real issue lies in getting the coal to the coastal loading areas of Abbots Point.
The vast distances means the construction of a 500km railway line to connect the mines to the port. This massive endeavour has created controversy amongst mining companies and land owners – however, the Queensland government seems steadfast in their resolve to encourage further investment by Indian utility companies in a bid to stimulate the coal mining industry in Queensland.
The Galilee basin coal mining project has the opportunity to create 1000’s of mining jobs in the state. The benefits would be felt far and wide, with local communities being involved by way of jobs and ancillary industries being developed to support the mines.
Coal mines such as Adani’s Carmichael mine and GVK’s joint venture mine with Gina Hancock’s Hancock Coal are set to break mining records in terms of the sheer size of the proposed developments.
iMINCO has been following the development of the Galilee Basin coal mines over the past 2 years. Coal found in the basin will be dug up and shipped to India in the near future – that’s our prediction – and if you follow the links below, we think you’ll agree.
Billions of dollars have already been invested in Australian and Qld coal mines, paving the way for a new era in coal mining in the sunshine state.
If you are looking to learn more about Queensland coal mining opportunities and what’s happening in India, read these blogs.
- Galilee Basin Mine Jobs ““ What are the facts?
- 25,000 new jobs for Galilee Basin coal mines and Abbot Point port expansion
- GVK Hancock ““ Galilee Basin Mining Jobs
- Adani Galilee Basin mine gets Qld government support
- Galilee Basin mine approved ““ Adani`s Carmichael thermal coal project
- Queensland Mine Jobs Outlook ““ Adani Mining
- QLD Mining Jobs ““ Abbot Point Expansion
- Galilee Basin, Adani, Abbot Point, investment & mining jobs
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