Coal India Limited (CIL), the country’s largest coal producer has announced its plans to become a ‘net-zero energy company’ by 2023-24. The company plans to set up solar power plants by 2024 with an investment of Rs 5,650 crore in the coal-producing areas. There are plans to set up 14 solar projects in Jharkhand, however, these places have not been identified yet. About 3,000 MW of solar power plant will be installed to meet all its electricity demand, which will also reduce its power expenses. The foray into solar is part of CIL’s diversification plans to shift from a coal company to an energy company.
In the first phase, CIL plans to utilize the power generated from solar plants for mining and increase production capacity. This will not only reduce the cost of production but also reduce coal prices in the open market. About two-thirds of the investment amount will be spent on rooftop solar projects and ground solar power. Apart from this, Neyveli Lignite Corporation (NLC) India Limited Finance will help in the expansion of solar power plants.
The negotiations are on for this ambitious project of Coal India. Under this, the company along with NTPC is preparing to develop the country’s largest electricity generator. Not only this CIL has signed an agreement with Solar Corporation of India, through which a 1000 MW solar project will be installed.
