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Clarification on Claims of Giving Preferential Treatment to one State for Allocation of Coal Blocks & Singareni Collieries Company Ltd

Dec 9, 2022 | Business

It has come to the notice of the Ministry of Coal about allegations of giving preferential treatment to one State Government in allocation of coal blocks which is false  and not based on facts.

There is no special rule or scope of giving special treatment to any one State. Therefore, the question of preferring one State as claimed is baseless and misleading.

Facts are given below:

Two lignite blocks was allotted to GMDC (Gujarat Mineral Development Corporation Ltd) in 2015 with following details:

Bharkandam lignite block allotted on 10.08.2015

Panandhro Extn. Lignite block allotted on 10.08.2015

Similarly, three coal blocks were allotted to SCCL, a Government of Telengana PSU:

Naini coal block in Odisha allotted on 13.08.2015

Pengadappa coal block in Telangana allotted on 15.12.2016

New Patrapara coal block in Odisha allotted on 30.10.2019.

One  coal    mine Tadicherla-I in Telangana was also  allotted to Telengana State Power Generation Limited on 31.08.2015

 Important to bring to attention that out of above three coal  mines  allocated to SCCL a Government of Telengana PSU, Pengaddppa and New Patrapara coal blocks have been surrendered by the SCCL under amnesty scheme of Central Govt., wherein penalties for surrender of coal mines by PSUs  has  been  waived  off  by  the Centre. The Naini block allotted to SCCL, a Government of Telengana PSU in 2015 is still not operationalized by the Government of Telengana even though GoI has facilitated in obtaining all the clearances.

Auction of coal blocks are being carried out through Mines and Minerals (Development and Regulation) Act, 1957 & Coal Mines (Special Provisions) Act, 2015 that Union of India has undertaken regulation of mines and mineral development. Both these Acts provide for a transparent mechanism of mine allocation.

The most transparent mode of auction is being followed since the launch of commercial mining on 18th, June 2020, under which all coal

/lignite blocks have been given through auction route for sale of coal/ lignite. No coal/lignite blocks have been given through allotment route after launch of commercial mining to any State or Central PSU.

                                                                                                ****

AKN/RKP

(Release ID: 1882219)
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