India’s coal mines struggle to expand

Bloomberg

Protests over land sold for mine expansions in one of India’s top coal regions are hindering efforts to boost production and avoid a repeat of last year’s energy crunch.
Residents in the central state of Chhattisgarh, where Coal India Ltd operates some of Asia’s biggest coal mines, have accused the producer of reneging on offers of employment made under sale agreements.
Demonstrators have in recent weeks refused to vacate land earmarked for development, or disrupted operations at existing mine sites, according to company officials who asked not to be identified.
The protests come as high seaborne coal prices have limited India’s imports, contributing to a decline in inventories at power plants as the nation heads into its high-demand summer months. Coal India is already prioritising deliveries to power generators ahead of other key consumers including aluminum smelters and cement factories.
Locals have been protesting at the Kusmunda coalfields for weeks, while similar actions are also being carried out in the Gevra and Dipka areas, according to the officials.