1)Supply of Quality Coal to Power Stations :-
In order to produce better quality coal and to improve the quality as well as Gross Calorific Value (GCV) of coal, CIL(Coal India Limited) has adopted the following steps to improve the quality of coal:-
i) Selective mining by Surface Miner in opencast mine and Continuous Miner in underground mine for elimination of bands wherever necessary /feasible.
ii) Appropriate positioning of coal benches to avoid contamination.
iii) Scrapping/cleaning of coal benches before blasting.
iv) Installation of metal detectors / magnetic separators over running conveyors before coal loading.
v) Crushing arrangement are also provided for supply of sized coal for better consumer satisfaction
vi) All the major projects having high capacity coal handling plants dispatch sized and uniform quality of coal to suit the requirement of consumers.
vii) Participation of consumer representative in Joint Sampling/ Third Party Sampling and analysis of coal with consumers, based on which consumers are provided with the facility of adjustment of payment against coal value.
viii) Arrangement for awareness programmes / imparting training to the personnel involved in production of coal regarding importance of coal quality and need to improve and maintain the same during mining operations.
Analysis :-
Coal related questions are of importance for both Prelims and Mains.In prelims 2014, UPSC has asked a question related to import of Coking Coal. Also , in Mains paper , question were asked what are the issues arising out of open-cast mining and underground mining. Hence it is important to understand how the coal mining is done and related facts about it.
Open Cast Mining :-
- Open-pit or open-cast mining is a surface mining technique of extracting rock or minerals from the earth by their removal from an open pit or borrow.
- Open-pit mines are used when deposits of commercially useful minerals or rocks are found near the surface; that is, where the overburden (surface material covering the valuable deposit) is relatively thin or the material of interest is structurally unsuitable for tunneling (as would be the case for sand, cinder, and gravel)
- Open-pit mines that produce building materials and dimension stone are commonly referred to as “quarries”
Problems:-
- Noise Pollution
- Run off from the coal degrades surrounding landscpae
- Scars the landscape
- Natural vegetation is lost and restoration of the landscape is almost impossible due to loss of top soil.
- Creates risks when open pits are left unfilled
- Release dust and gaseous pollutants to air
Underground Mining:-
- Most coal seams are too deep underground for opencast mining and require underground mining, a method that currently accounts for about 60 percent of world coal production
Problems:-
- Black damp: a mixture of carbon dioxide and nitrogen in a mine can cause suffocation, and is formed as a result of corrosion in enclosed spaces so removing oxygen from the atmosphere.
- Fire damp: consists of mostly methane, a highly flammable gas that explodes between 5% and 15% – at 25% it causes asphyxiation.
- Stink damp: so named for the rotten egg smell of the hydrogen sulphide gas, stink damp can explode and is also very toxic.
- White damp: air containing carbon monoxide which is toxic, even at low concentrations
- Chronic Lung disease such as pneumoconiosis (black lung)
- Reduced Life expectancy for miners
- Mine Collapse
What is Coking Coal?
Coking coal is an essential ingredient in steel production. It is different to thermal coal which is used to generate power. Coking coal, also known as metallurgic coal, is heated in a coke oven which forces out impurities to produce coke, which is almost pure carbon.
2)”Operation Smile-II” to start from 1st January, 2016 throughout the country
- The States have so far reported that 9146 children under Operation ‘Smile’ and 19742 children under Operation “Muskaan” were rescued/rehabilitated. A large number of missing children have been reunited with their families which is a remarkable achievement made by the field offices. In order to motivate the policemen to take up such causes with sincerity and empathy
- During the operation, the particulars of such identified children will be uploaded on the ‘Missing child’ portal of the Ministry of Women and Child Development by the respective State Police. Rehabilitation measures whenever needed are to be taken up in coordination with the other line Departments like Department of Women & Child Development, Police, Labour, etc so that scope of re-victimization is eliminated. It has also been emphasized that public awareness should be increased by way of national campaign, advertisement on national media, etc.
3)Gender Gap in Labour Force :-
Increasing the female labour force participation rate is a global concern and the G-20 countries have targeted to reduce the gender gap in these rates by 25 % by 2025.
It has also been estimated by the G-20 group, that if the number of female workers were to increase to the same level as the number of men, Gross Domestic Product (GDP) would expand by 5 percent in the United States, by 9 percent in Japan and by 27 percent in India.
Decline in female labour force participation rate during 2004-05 to 2011-12 may be attributed to increase in level of income in rural areas due to increase in real wages, higher level of participation in education, etc.
Government has implemented the National Career Service having a portal (www.ncs.gov.in) for online registration and posting of jobs for job-seekers and provide other employment related services.
Measures through schemes such as Ajeevika, Seeko Aur Kamao, National Rural Livelihood Mission, National Urban Livelihood Mission etc. will enhance the skill Potential of rural and urban females and make them employable
4)Special Category States :-
Special Category Status for plan assistance has been granted in the past by the National Development Council (NDC) to some States that are characterized by a number of features necessitating special consideration.
These features include:-
(i) hilly and difficult terrain
(ii) low population density and / or sizeable share of tribal population
(iii) strategic location along borders with neighbouring countries
(iv) economic and infrastructural backwardness
(v) non-viable nature of state finances
The 14th Finance Commission recommendations provide for higher share of divisible pool of central taxes for the award period of 2015-20 from the earlier 32 per cent to 42 per cent from 2015-16. This would increase the quantum of untied funds available to the States which could be utilized for the various schemes /programmes.
5)‘National Young Leaders Programme (NYLP)’ :-
‘National Young Leaders Programme (NYLP)’ was launched in December, 2014 in order to develop leadership qualities among the youth. The Scheme has the following 5 components, namely,
- a) Neighbourhood Youth Parliament (NYP): The platform of youth clubs of NYKS will be developed in the shape of vibrant ‘neighbourhood youth parliament’ to educate the youth club members about contemporary socio-economic development issues and to involve them in debate/ discussions on such issues.
- b) Youth for Development Programme (YFD): To channelise the immense youth energy towards the nation-building, by involving them in Shramadaan (voluntary labour) on a large-scale all over the country.
- c) National Young Leaders Awards (NYLA): To motivate the youth to strive for excellence in their respective fields by recognising and rewarding the outstanding work done by them.
- d) National Youth Advisory Council (NYAC): to seek active involvement of the youth leaders as well as other stakeholders in the decision-making process on the youth related issues.
- e) National Youth Development Fund (NYDF): To mobilise funds for youth development from non-Government sources like CSR funds.
6)TAPI Pipeline project:-
The Turkmenistan–Afghanistan–Pakistan–India Pipeline (TAPI), also known as Trans-Afghanistan Pipeline, is a natural gas pipeline being developed by the Asian Development Bank.
The pipeline will transport Caspian Sea natural gas from Turkmenistan through Afghanistan into Pakistan and then to India.
The launch of TAPI also marks the first step towards fulfilling the vision of an economically integrated region stretching from the Bay of Bengal to the Caspian Sea.
IPI -Iran-Pakistan-India is also another pipeline which is yet to take shape.

Receive Daily Updates
Recent Posts
Petrol in India is cheaper than in countries like Hong Kong, Germany and the UK but costlier than in China, Brazil, Japan, the US, Russia, Pakistan and Sri Lanka, a Bank of Baroda Economics Research report showed.
Rising fuel prices in India have led to considerable debate on which government, state or central, should be lowering their taxes to keep prices under control.
The rise in fuel prices is mainly due to the global price of crude oil (raw material for making petrol and diesel) going up. Further, a stronger dollar has added to the cost of crude oil.
Amongst comparable countries (per capita wise), prices in India are higher than those in Vietnam, Kenya, Ukraine, Bangladesh, Nepal, Pakistan, Sri Lanka, and Venezuela. Countries that are major oil producers have much lower prices.
In the report, the Philippines has a comparable petrol price but has a per capita income higher than India by over 50 per cent.
Countries which have a lower per capita income like Kenya, Bangladesh, Nepal, Pakistan, and Venezuela have much lower prices of petrol and hence are impacted less than India.
“Therefore there is still a strong case for the government to consider lowering the taxes on fuel to protect the interest of the people,” the report argued.
India is the world’s third-biggest oil consuming and importing nation. It imports 85 per cent of its oil needs and so prices retail fuel at import parity rates.
With the global surge in energy prices, the cost of producing petrol, diesel and other petroleum products also went up for oil companies in India.
They raised petrol and diesel prices by Rs 10 a litre in just over a fortnight beginning March 22 but hit a pause button soon after as the move faced criticism and the opposition parties asked the government to cut taxes instead.
India imports most of its oil from a group of countries called the ‘OPEC +’ (i.e, Iran, Iraq, Saudi Arabia, Venezuela, Kuwait, United Arab Emirates, Russia, etc), which produces 40% of the world’s crude oil.
As they have the power to dictate fuel supply and prices, their decision of limiting the global supply reduces supply in India, thus raising prices
The government charges about 167% tax (excise) on petrol and 129% on diesel as compared to US (20%), UK (62%), Italy and Germany (65%).
The abominable excise duty is 2/3rd of the cost, and the base price, dealer commission and freight form the rest.
Here is an approximate break-up (in Rs):
a)Base Price | 39 |
b)Freight | 0.34 |
c) Price Charged to Dealers = (a+b) | 39.34 |
d) Excise Duty | 40.17 |
e) Dealer Commission | 4.68 |
f) VAT | 25.35 |
g) Retail Selling Price | 109.54 |
Looked closely, much of the cost of petrol and diesel is due to higher tax rate by govt, specifically excise duty.
So the question is why government is not reducing the prices ?
India, being a developing country, it does require gigantic amount of funding for its infrastructure projects as well as welfare schemes.
However, we as a society is yet to be tax-compliant. Many people evade the direct tax and that’s the reason why govt’s hands are tied. Govt. needs the money to fund various programs and at the same time it is not generating enough revenue from direct taxes.
That’s the reason why, govt is bumping up its revenue through higher indirect taxes such as GST or excise duty as in the case of petrol and diesel.
Direct taxes are progressive as it taxes according to an individuals’ income however indirect tax such as excise duty or GST are regressive in the sense that the poorest of the poor and richest of the rich have to pay the same amount.
Does not matter, if you are an auto-driver or owner of a Mercedes, end of the day both pay the same price for petrol/diesel-that’s why it is regressive in nature.
But unlike direct tax where tax evasion is rampant, indirect tax can not be evaded due to their very nature and as long as huge no of Indians keep evading direct taxes, indirect tax such as excise duty will be difficult for the govt to reduce, because it may reduce the revenue and hamper may programs of the govt.