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State-run Coal India Ltd (CIL) will more than double its capital expenditure next fiscal to over Rs 10,000 crore to spruce up infrastructure to meet its production target of 1 billion tonnes, according to a top company executive.

On 28th February, when Finance Minister Arun Jaitley presents his second budget (after his Interim Budget 2014 in July) the power industry may expect some major policy relief as it will be the first full-fledged budget presented by the FM.

We have worked out a five-year clear-cut plan for ramping up the production from Coal India from the current 500 million tonnes to one billion tonnes a year by 2020. In fact Coal India has already readied its comprehensive mine-wise plans and it will be placed

Sample this. Coal India, the much-reviled public sector coal behemoth, produced 462 mt of coal last year, with all the much-publicised legacy problems that it faces. The top seven global (private sector) mining giants together produced around 700 mt of coal last year (see Coal output by global players). And all of India´s private players produced a mere 50 mt of coal in 2014.

The power sector has begun to witness several initiatives by authorities to address concerns on State Electricity Boards, fuel supply pacts and power purchase agreements. It would, however, take a while before clarity on several issues emerges.

Coal India Ltd is the largest coal producer in the world with a production of 462 MT in FY14 and reserves of 80.9 BT. CIL accounts for approximately 80 per cent of the total coal produced in India, and virtually enjoys a monopoly in the domestic market.

Union Coal Secretary Anil Swarup has said the state-owned Coal India Ltd (CIL) would mine 1,000 million tonnes of coal by 2019 -- doubling its present production of 500 million tonnes.

NTPC and Gujarat State Electricity Corporation Ltd (GSECL) have signed an MoU to swap one million tonnes (mt) of coal. The deal is expected to help both companies save around Rs 378 crore.