India’s coal import bill is likely to go up further by around Rs 18,000 crore due to the cancellation of coal blocks by the country’s apex court, according to a report.
The Supreme Court today quashed the allocation of 214 out of 218 coal blocks allotted to various companies since 1993.
Around 40 of them were operational.
“In the event of complete de—allocation of the coal blocks, the import bill of India would jump by $3 billion.
The two most impacted companies are Jindal Steel and Power and Hindalco,” Macquaire had said in a recent report.
“Any news of curtailment of India’s coal production could help revive the weak global sentiment on coal, as some companies might try to build inventory,” it added.
India had imported around 168.4 million tonnes of coal worth Rs 95,000 crore last fiscal and this figure is expected to rise in the current year.
India is the third largest importer despite having fourth largest coal reserves in the world.