Comments
The Government has set up an inter-ministerial panel to examine applications from companies for the allotment of three coal blocks on tariff bidding.
“An Inter-Ministerial Committee under the Chairmanship of the Secretary (Coal)...has been constituted with the approval of the competent authority,” according to an official source.
The 12-member panel will consider the applications received and after assessing their eligibility based on the criteria specified and a comparative evaluation, submit its recommendations to the Centre, the source added.
“The Committee may deliberate and recommend the general principles/guidelines,” the source said.
The panel has members from the ministries of power and law.
The Government has received 36 applications from companies including Jindal Steel and Power Ltd (JSPL) and Tata Steel, in response to the notice inviting applications for allotment of three coal blocks.
Bids have been invited by the Government till the end of this month.
“The entire process, including evaluation of applications and shortlisting of firms, among others, before the coal blocks are allotted, will take at least four months,” the source said.
The Government had in February put up three mines in Jharkhand and West Bengal for auction. The Coal Ministry offered the three blocks — two in Jharkhand and one in West Bengal — for captive use to steel, cement and sponge iron companies.
The much-delayed auction features mines that have total reserves of 500 million tonnes.
The Centre has drawn flak for delaying the auction.
Official auditor CAG had earlier said allotment of 57 mines to private firms without auction had resulted in a notional loss of ₹1.8 lakh crore to the exchequer.
Last year, the Government had allocated 17 coal mines to central and state public sector units, including four to NTPC.
It had planned to auction 54 coal blocks with total estimated reserves of about 18 billion tonnes.
The blocks in Jharkhand include Jhirki & Jhirki (West) of East Bokaro Coalfield with geological reserves of 267.91 mt of coking coal for steel (blast furnace). The Tokisud-II of South Karanpura Coalfield has 127.692 mt reserves for cement plant.
The mine in West Bengal, Andal Babuisol of Raniganj Coalfield, has about 103.841 mt of reserves for sponge iron.
In September, the Cabinet had approved the methodology for auctioning coal blocks, providing for upfront and production-linked payments and benchmarking of coal sale prices.
Comments
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.