Jharkhand's Secret Weapon: 45,000 Hectares of Old Coal Land Could Power India's Green Future!

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AuthorIshaan Verma|Published at:
Jharkhand's Secret Weapon: 45,000 Hectares of Old Coal Land Could Power India's Green Future!
Overview

A new study by iFOREST reveals Jharkhand can repurpose 45,000 hectares of mining land for green investments like renewable energy and manufacturing, crucial for India's net-zero transition. With over 11,000 hectares available immediately from closed mines, this offers significant opportunities for economic diversification and job creation in coal-dependent regions, supported by ₹16,977 crore in District Mineral Foundation funds.

Jharkhand's Green Leap: Repurposing 45,000 Hectares for India's Net-Zero Goal

A groundbreaking study by the Delhi-based think tank International Forum for Environment, Sustainability and Technology (iFOREST) highlights Jharkhand's immense potential to drive India's net-zero transition. The report suggests repurposing approximately 45,000 hectares of its vast mining land, transforming legacy energy assets into hubs for low-carbon industrial pathways. This strategic shift could unlock significant green investments and foster job creation in regions historically dependent on coal.

The Core Issue: Land Availability for Transition

The study identifies over 11,000 hectares of land immediately available from coal mines that are either closed or non-operational. Over the next five to ten years, an additional 45,000 hectares can be planned for repurposing. This land presents a major opportunity for green investments, including renewable energy projects, green manufacturing facilities, logistics hubs, and allied economic activities.

This planned repurposing is particularly critical in districts like Dhanbad, Bokaro, and Ramgarh, where nearly 60% of coal mines are expected to transition in the coming decade due to depleted reserves or declining economic viability. Proactive land repurposing in these areas could provide a vital lifeline for economic diversification and employment.

Financial Implications and Funding Opportunities

Jharkhand has a substantial cumulative District Mineral Foundation (DMF) accrual of ₹16,977 crore. The iFOREST study recommends leveraging these funds to finance just transition-aligned investments in coal districts. These investments could include livelihood diversification programs, skilling initiatives for affected workers, and other welfare activities, ensuring a smoother transition for local communities.

The state also possesses an estimated 77 gigawatts (GW) of renewable energy potential. The study advocates for the environmentally responsible expansion of this potential by utilizing repurposed mining land, industrial wastelands, and water bodies for projects like floating solar power plants. Public sector utilities such as the Damodar Valley Corporation (DVC) are well-positioned to support these initiatives in legacy coal regions.

Sectoral Opportunities: Steel and Automotive

The steel sector and its associated value chain represent another significant opportunity for Jharkhand. As the state accounts for nearly 12% of India's crude steel capacity, it is strategically positioned to become a leader in adopting green steel and green hydrogen technologies. Companies like Tata Steel and Steel Authority of India Limited (SAIL) are identified as key players that can spearhead a phased shift towards low-carbon steel pathways, enabling early pilot projects, scaling up green hydrogen adoption, and creating employment across the entire value chain.

Furthermore, the Jamshedpur-Adityapur auto cluster in Jharkhand has the potential to emerge as a leader in the electric vehicle (EV) transition in eastern India, further diversifying the state's industrial landscape.

Official Statements and Responses

Srestha Banerjee, Director of Just Transition and Climate Change at iFOREST, emphasized that repurposing land and energy assets can attract green investments and generate employment, benefiting local communities. She noted that the state is already fostering an enabling environment through simplified permitting processes to boost industrial investments.

Jharkhand's State Forest and Environment Secretary, Aboobacker Siddique, acknowledged land as a critical resource for economic development and highlighted the significant opportunity for repurposing mining land to support green growth. He stressed the need to integrate climate and just transition considerations into state economic planning and budget allocations.

Central Coalfields Ltd CMD, Nilendu Kumar Singh, indicated that while mining will continue for the next 30-40 years, there is sufficient time for planning. He called for the creation of viable alternatives through land repurposing, tailored to local opportunities, knowledge, and skills. He also underscored the importance of clean coal technologies and green mining practices to reduce emissions.

State Labour Secretary, Jitendra Kumar Singh, framed energy transition as a livelihood transition, stating that Jharkhand is actively implementing measures through Industrial Training Institutes (ITIs) and the skill development society to support this shift.

Future Outlook and Impact

The study identifies eight priority districts—Dhanbad, Bokaro, Ramgarh, Chatra, Hazaribagh, Saraikela-Kharsawan, East Singhbhum, and West Singhbhum—as transition hotspots. It projects a significant impact, noting that around 32% of Jharkhand's revenue currently comes from fossil fuels, making the transition economically substantial.

Ajay Kumar Rastogi, Chairperson of the State Taskforce on Sustainable Just Transition, pointed out that transitioning informal workers and the broader ecosystem presents a key challenge, requiring robust education and alternative livelihood programs. The planned repurposing of land is seen as a vital step towards a sustainable and prosperous future for the state and a significant contribution to India's climate goals.

Impact Rating: 8/10

Difficult Terms Explained

  • Net-zero transition: The process of reducing greenhouse gas emissions to the point where any remaining emissions are balanced by removals from the atmosphere, aiming for a state of no net increase in emissions.
  • iFOREST (International Forum for Environment, Sustainability and Technology): A Delhi-based think tank that conducts research and advocacy on environmental, sustainability, and technology-related issues.
  • Hectare (ha): A unit of area used in the metric system, equal to 10,000 square meters; approximately 2.47 acres.
  • District Mineral Foundation (DMF): A statutory body established in India under the Mines and Minerals (Development and Regulation) Amendment Act, 2015, to work for the interest and benefit of persons affected by mining-related activities.
  • Green investments: Investments made in projects or companies that aim to reduce negative environmental impacts or promote positive environmental outcomes.
  • Green steel: Steel produced using methods that significantly reduce carbon emissions, often involving hydrogen as a reducing agent or renewable energy sources.
  • EV transition: The shift from internal combustion engine vehicles to electric vehicles (EVs).
  • Just transition: A framework for ensuring that the transition to a green economy happens in a way that is fair and inclusive, creating decent work and quality jobs for all.
  • CMD (Chairman and Managing Director): The highest-ranking executive in a company, responsible for overall management and strategy.
  • DVC (Damodar Valley Corporation): A public sector undertaking involved in power generation, transmission, and distribution in eastern India.
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