Updated February 21st, 2024 at 18:07 IST

Coal PSUs Achieved 95.83% of annual capex Target by Jan 2024

In 2022-23, Coal CPSEs surpassed approximately 113 per cent of their capex goals.

Reported by: Business Desk
Sources indicate that these fresh notices have been issued against approximately a dozen individuals. | Image:PTI
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Capex by Coal PSUs: The Public Sector Undertakings (PSUs) in the coal sector have notched up an impressive 95.83 per cent of their annual capital expenditure (capex) target as of January 2024. 

This trend of outpacing capex expectations is not only observed in this year, this phenomenon has been consistent over the recent years. 

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Coal India Limited (CIL) and Neyveli Lignite Corporation India Limited (NLCIL) surpassed expectations, achieving 104.88 per cent and a remarkable 123.33 per cent, respectively, of their allocated targets. 

In 2022-23, Coal CPSEs surpassed approximately 113 per cent of their capex goals.

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As we navigate the current fiscal of 2023-24, the Ministry of Coal has set an ambitious capex target of Rs 21,030 crore. The achievements thus far reveal substantial progress, with Rs 20,153 crore accomplished as of January 2024, representing an impressive 95.83 per cent advancement toward the annual objective. 

Surge in Capex Investment

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With an anticipated surge in capex investments in the final two months of the fiscal year, it is foreseen that CIL and NLCIL will not only meet but potentially surpass their annual capex targets. 

This bodes well for India's economic growth trajectory, as capex plays a pivotal role in stimulating various facets of the economy. Its multiplier effect contributes to increased consumption, and heightened demand, catalyzes industrial growth, generates employment, and boosts the creation of enduring infrastructure.

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The robust performance of Coal PSUs in meeting and exceeding their capex targets stands as a compelling narrative of their crucial role in propelling India towards sustained economic prosperity.

 

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Published February 21st, 2024 at 17:52 IST