Vedanta Aluminium to fastrack coal transportation with the new Sardega-Bhalumuda rail project

On Friday, September 20, Vedanta Aluminium officially confirmed that the new 37-km long Sardega-Bhalumuda rail project connecting Odisha and Chhattisgarh, once operational, would establish a smooth and faster transportation of coal from the company’s mines.

Recently, the Cabinet Committee on Economic Affairs (CCEA) under the chairmanship of Prime Minister Narendra Modi approved three railway projects, including Sardega-Bhalumuda New Double Line.

The transition from road transportation to railways for coal shipment from Vedanta’s Jamkhani and Ghogharpalli captive mines in Odisha will significantly reduce carbon footprint and also expenditure associated with logistics.

Coal is an integral raw material for primary aluminium production. It is used in two ways: coal tar pitch, which is used to make anodes required in the electrolysis process to produce aluminium, and coal-fired power plants, the main source of electricity for the aluminium industry.

"Vedanta Aluminium... has welcomed the government's decision to facilitate the Sardega-Bhalumuda rail line connectivity project between Odisha and Chhattisgarh, an initiative aimed at streamlining coal transportation sustainably and efficiently," the company said in a statement.

This railway system for coal transportation is also a key step towards the Net Zero carbon emissions goal by 2050, enabling Vedanta to enhance its ESG strategy by focusing on decarbonising operations and enhancing supply chain efficiency.

"This project marks a significant milestone in our ongoing efforts toward Net Zero by 2050. More importantly, this infrastructure will support regional industrial growth, benefiting local industries and creating meaningful economic opportunities for nearby communities," said Vedanta Aluminium CEO John Slaven.

The new rail line project is also expected to create new employment opportunities for local communities, particularly during its construction and operational phases. Beyond Vedanta, it will benefit the entire region leading it to a great economic development by supporting other industries with proper logistics system.