Coal India capex doubles to Rs 13k cr in FY’21

Kolkata: Maharatna PSU Coal India (CIL) has more than doubled its capital expenditure to Rs 13,115 crore in FY’21 compared to its previous fiscal. Against the capex of Rs 6,270 crore in FY’20 the company clocked 109% growth amid the Covid slump.
“CIL has never registered such a capex growth. This comes at a time when the Centre has advised CPSEs (Central Public Sector Enterprises) of the country to scale up their expenditure to boost the economy. This also marks the state-owned Maharatna coal miner’s all-time high capital expenditure, breaching the ramped up capex target of Rs 13,000 crore, achieving 101% of the revised target,” the company has said.
CIL’s original sanctioned capex budget was Rs 10,000 crore for FY’21. However, the government assigned CIL a 130% achievement of the budgeted target the company to be evaluated as ‘Excellent’ under this specific parameter in MoU rating. This prompted CIL, for the first ever time, to tweak up its capex budget by 30% and revise it to Rs 13,000 crore.