The Coal Ministry said on Monday that it will launch the ninth round of auctions for commercial coal mines on December 20 under which the government is offering 26 blocks.
Coal Minister Pralhad Joshi will grace the occasion as the chief guest, while Minister of State for Railways, Coal & Mines Raosaheb Patil Danve will be the guest of honour on the occasion.
A total of 26 coal mines will be offered in the upcoming round, comprising 3 under the Coal Mines (Special Provisions) Act (CMSP Act) and 23 under the Mines and Minerals (Development and Regulation) Act (MMDR Act), the Ministry said.
Among these, seven coal mines are fully explored, while 19 are partially explored. Additionally, five coal mines are being offered under the 2nd Attempt of round 7 of commercial coal mines auction that includes four CMSP Act coal mines and one MMDR Act coal mine. Of these, four are fully explored, while one is partially explored, it added.
Private players
The upcoming 9th round of commercial coal auctions is poised to enhance the participation of more private players in the coal sector, fostering competition, efficiency, innovation and contributing to sustainable development. This initiative follows unprecedented achievements in coal production and dispatch from captive and commercial coal mines, the Ministry said.
Unlike previous auctions, there are no restrictions on the sale or utilisation of coal. Notably, eligibility criteria have been eliminated, removing any technical or financial barriers for participation.
Also, a strategic shift from the notified price to the National Coal Index ensures transparency and fairness, establishing a market-driven pricing mechanism. The amendment of mineral laws has been instrumental in unlocking the coal sector, providing an equitable playing field for both public and private sector players and allowing auctions for various purposes, including own consumption and sale.
For ease of doing business, the Ministry has conceptualised a Single Window Clearance System (SWCS) portal to create a platform to obtain various clearances for the early operationalization of coal mines, ultimately resulting in the augmentation of coal production in the country through a single gateway. These reforms serve as pillars of progress and resilience in the coal sector.