Govt taps coal as economy gathers steam

A sudden spurt in demand changes the fortunes of the sector as it records 324.44 MT output in Jan-Nov 2004.

The year 2004 saw coal sector coming up from the pits. As also the master survivor Shibu Soren, who was shown the door in the wake of a criminal case against him, made a comeback as Coal Minister.

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From reeling under a slow-moving economy to a sudden spurt in demand, the fortunes of the sector changed, recording 6.7 per cent greater output than the target of 324.44 MT in January-November of 2004.

With the demand expected to grow manifold as economy gathers steam, the Government is looking at the sector to fulfil a large chunk of the country's burgeoning energy demand.

In view of the potential of the segment, the private sector too is seeking a chunk of the coal pie but the Government stuck to its guns.

It, however, opened a window of opportunity for smaller players in the private sector by allowing them mining and disposal of coal from Goitoria (east and west) coal blocks as non-captive small and isolated deposits.