Projekt-ID: #81319453

81319453-Just Transformation for Coal Mines in India

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Projektbeschreibung

The Multi-Donor Action "Application of Just Transition Principles in the Closure and Repurposing of Coal Mines in India" is jointly co-financed by the European Union and the German Federal Ministry for Economic Cooperation and Development (BMZ) and implemented by GIZ as part of the BMZ funded project "Just Energy Transition in Coal Regions in India". Background: India is the world's second largest producer, consumer, and importer of coal. With the present trend of the energy sector, it is likely that coal demand may peak after 2035 and subsequently coal demand may undergo gradual tapering. Coal mining is concentrated mainly in economically underdeveloped states such as Jharkhand, Odisha, and Chhattisgarh in northeastern India, where almost all aspects of economic and social life are closely intertwined with the coal industry. The heavy dependence on the coal sector extends to sources of income, government revenue, and technical and social infrastructure. The Indian coal sector directly employs hundred thousand of people. A large additional group of people is informally employed in the coal sector (estimated at several hundred thousand). Further people (estimated at several million) are directly or indirectly dependent on the coal industry. The closure of mines has serious impacts on their livelihoods, especially when considering not only the mine operators and their workforce, but also regional supply chains. Due to this high degree of dependence, the challenges for structural change that meets sustainability criteria are enormous. The growing capital intensity of coal mining in India has already led to a steady decline in employment in this sector over the past decades. However, due to the low level of economic diversification, there are hardly any alternative income opportunities in the coal-mining regions. In many coalfields have exhausted, and more than 300 mines are already unprofitable and are no longer in use. However, there are no plans for their final and environmentally sound closure and for the socio-economic development of the adjacent areas. Uncoordinated mine closures without clear guidelines for the reuse of the land and without taking into account the social and economic impact on the affected communities pose significant health, environmental and safety risks, and threaten to further worsen the already precarious living conditions of vulnerable populations, especially women. There is a lack of suitable instruments for the implementation and scaling of the sustainable closure of coal mines as well as sufficient knowledge and skills of the relevant actors. This inhibits a coherent and environmentally friendly implementation of the closures. The people affected need economic alternatives as well as access to vocational education and training in order to reduce unemployment, social inequality and the vulnerability of vulnerable groups. A regulatory framework for mine closures is under development but is not yet fully developed. The 2009 guidelines have already been revised four times but are still considered incomplete and inadequate by the government and experts. In addition, there is a lack of participatory procedures that are essential for broad acceptance, legitimation and long-term anchoring of planning and implementation processes. There is also a lack of suitable instruments for an expert assessment and planning of the mine closure. There are also insufficient financing options for a sustainable transformation. Relevant empirical knowledge about sustainable mine closures is lacking, as are national and international networks of experts to build the necessary capacities. The closure of coal mines in India has so far taken place without concrete action plans and sustainable reuse strategies that adequately take into account environmental concerns and the gender-equitable socio-economic development of the affected communities (core problem).Overall, sustainable coal mine closure requires integrated solutions that combine climate, energy and environmental goals with qualification, economic diversification and gender equality in order to meet the requirements of a Just Transition. The sustainable closure of coal mines, including their subsequent use, has been initiated in India on the basis of Just Transition principles. In this context, the action supports the Government"s vision by working on three outputs: 1) In three pilot districts, the planning process for the sustainable closure of coal mines, including their repurposing and the socio-economic development of adjacent areas, has been completed. 2) The capacities of the actors important for the sustainable closure of coal mines at the national, state and district levels have been strengthened. 3) The implementation of measures for the sustainable closure of coal mines, including their repurposing and the gender-equitable socio-economic development of adjacent areas, is initiated.

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The Multi-Donor Action "Application of Just Transition Principles in the Closure and Repurposing of Coal Mines in India" is jointly co-financed by the European Union and the German Federal Ministry for Economic Cooperation and Development (BMZ) and implemented by GIZ as part of the BMZ funded project "Just Energy Transition in Coal Regions in India" invited bids from potential agencies for Just Transformation for Coal Mines in India for this multi-donor action project. Background: India is the world's second largest producer, consumer, and importer of coal, which accounts for about 50% of the primary energy demand. Coal accounts for 73% of electricity generation and also forms the basis of India's steel industry, which is the second largest in the world. Total coal consumption in India is yet to peak. With the present trend of the energy sector, it is likely that coal demand may peak after 2035 and subsequently coal demand may undergo gradual tapering with the rise of renewable sources. As regards closure and repurposing of coal mines, some of the existing coal mines will close down in the near future due to exhaustion of reserves, adverse geo-mining conditions, safety problems and viability issues. Further, in some of the coal regions, there are legacy mine sites/ closed mine sites requiring repurposing. The Government of India sees wide scope of repurposing such mine sites accompanied by social dialogue and stakeholder engagement for taking transformational measures. The coal mining districts in Jharkhand may be proposed to host the first pilot case under the project, as it presents the most appropriate scenario and scope to address the challenges and potentials for identifying solutions for closing and repurposing abandoned, closed and to-be closed mine sites. In this context, the action supports the Government"s vision by working on three outputs: 1) In three pilot districts, the planning process for the sustainable closure of coal mines, including their repurposing and the socio-economic development of adjacent areas, has been completed. 2) The capacities of the actors important for the sustainable closure of coal mines at the national, state and district levels have been strengthened. 3) The implementation of measures for the sustainable closure of coal mines, including their repurposing and the gender-equitable socio-economic development of adjacent areas, is initiated. Tasks of the assignment: The selected agency is expected to carry out the detailed tasks mentioned in the TOR to meet the three output objectives. The tasks have been divided into four work-packages (WP). Work package 1: Preparatory work for the development of integrated coal mine closure plans (ICMCP) The consultant conducts secondary research on international standards and best practices in coal mine closure, as well as success stories for developing coal mine closure plans. The consultant is required to undertake preparatory work to be able to develop an integrated coal mine closure plan which contain the following subjects: - technical closure of both open-cast and underground mines that includes the environmental management of the coal mining area, - closing activities that involve e.g. monitoring and management of air, soil and water pollution, its decontamination, - geo-physical safeguarding of coal mine sites, - reclamation and rehabilitation of degraded land of coal mines, - Repurposing of coal mining areas and - socio-economic development of/for communities adjacent to coal mines. The work will involve on-ground visits to designated coal mines and adjacent areas in India. The ICMCP shall investigate each mining area and adjacent community up to 25 km from the mining site. As each plan covers the three aspects of technical closure, reclamation and repurposing, it shall be done in a manner which helps the socio-economic development and economic diversification of the adjacent area. The preparatory analyses will consider various economic diversification activities to maintain and enhance the income of the community members in adjacent areas and to create new cash flows. Work package 2: Preparation of integrated coal mine closure plans in consultation with mining companies and affected communities After conducting preparatory work for the development of the ICMCP, up to three individual plans for integrated coal mine closure (both open-cast and underground mines will be involved and at least one of the mines will be located in the state of Jharkhand), including remediation framework planning (contaminated site management, area water balance, reduction of green-house gas emissions, geophysical safeguarding of sites, etc.) with the purpose of developing sustainable and safe post-mining landscapes (recultivation, reuse, livelihood, etc.) and repurposing options will be developed with community participation. Work package 3: Capacity building The objective of this WP is to increase the knowledge among the key technical and professional stakeholders in the sector (both federal, state, and district levels) on the closure, re-purposing and social economic development of adjacent community while developing the closure plans. Work package 4: Preparation of the National Coal Mine Closure Framework (NCMCF) in compliance with international standards The framework provides a kind of decision support system to the mine operators to implement specific activities for different groups and at different stages of the final mine closure. The framework shall provide a menu of options at each stage of closure. The framework shall consist of 4 stages i.e. 1. Selection of mine for closure based on environmental, technical or financial criteria. 2. Step-by-step process to be followed during mine closure so it complies with applicable laws and regulations from the Government of India (GoI). 3. Land reclamation and repurposing - Possible options of land reclamation and repurposing with the associated prerequisites and the

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