Coal news and updates

‘Coal cess hike to raise input cost at user-end’

The increase in the cess on coal by Rs 200 per ton is likely to increase the input cost of coal-based industries, said the MCC Chamber of Commerce & Industry, in its reaction to the Union Budget for 2016-17.

The chamber also said “the intention to curb black money, opening of a limited-period compliance window for declaring undisclosed income is a good gesture, but in reality it created little impact in the past”.

Welcoming the large-scale investment on irrigation, the chamber feels that implementation is important as “we are spending every year on the irrigation but have failed to bring an extra area under this facility”.

It also said, although the Budget seems to be well-balanced on the fiscal front and the fiscal deficit is pegged at 3.5% of the GDP, it is felt that there may be slippage once the Seventh Pay Commission benefits are announced.
 

However, the chamber welcomed the major focus given by Union Finance Minister Arun Jaitley on agriculture, infrastructure and skill development.
 

The chamber also welcomed the massive increase in public spending on infrastructure to Rs 2.21 lakh crore – an increase of 22.5%; promoting a tax-friendly regime; minimising litigation through a new Dispute Resolution Scheme; amendment to the Companies Act to facilitate ease of doing business.