Coal mines to go under the hammer from today
Prime Minister to address launch event via video conferencing
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New Delhi, June 17
41 Blocks Put On The Block
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- As many as 41 coal blocks — spread across five states of Maharashtra, Jharkhand, Chhattisgarh, Odisha and Madhya Pradesh — will be put up on sale for commercial mining
- The proposed auction has business-friendly terms and conditions, including reduced upfront amount, adjustment of upfront amount against royalty and liberal efficiency parameters
The successful bidders will also have flexibility in coal production unlike the past and have provision for incentives for early production and coal gasification
The government will on Thursday launch here the auction of coal mines for commercial mining at an event that will be addressed by Prime Minister Narendra Modi via video conferencing.
As many as 41 coal blocks — spread across five states of Maharashtra, Jharkhand, Chhattisgarh, Odisha and Madhya Pradesh — will be put up on sale for commercial mining, according to sources.
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Of these blocks, the maximum number of mines is in Madhya Pradesh, they said.
“Prime Minister will address the launch of auction of coal mines for commercial mining,” according to a coal ministry statement.
The virtual auction event will be centred on the theme “Unleashing coal: New hopes for Aatmanirbhar Bharat”, the ministry said.
Coal Minister Pralhad Joshi had earlier said by allowing commercial mining, the government has completely opened up the sector for investments.
Terming the commercial coal mining as one of the biggest-ever reforms in the sector to boost ease of doing business, the minister had said several restrictions have also been removed, promoting free trade of coal.
As India has recently embraced the Aatmanirbhar Bharat Abhiyan, the coal and mining sector has started gearing up to make the country self-reliant in coal mining through structural reforms, according to the Coal Ministry.
The commercial coal mining auction is completely different from the earlier regime of restricted sectors, use and price. Now there are no such restrictions at all.
The proposed auction has business-friendly terms and conditions, including reduced upfront amount, adjustment of upfront amount against royalty and liberal efficiency parameters to encourage flexibility to operationalise the coal mines. — PTI
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