Prime Minister Narendra Modi has reportedly asked the ministries of coal, railways, shipping and power to work out a plan for better movement of coal though coastal and inland waterways and present the policy on the same to the cabinet. An Economic Times report quoted an unnamed NITI Ayog official as saying, ´Through the multimodal incentive scheme or using various modes of coal transportation, the government looks to save around Rs.40,000 crore in the next five years.´
Currently, coal evacuation is a big concern for Coal India and power companies due to lack of proper infrastructure. Domestic coal is transported mostly via road and railways, which not only increases cost but also adds to pollution. Following a push from the government, national miner Coal India´s production has jumped manifold.