Coal news and updates

CCO collects about Rs 6100 Cr. on account of additional levy

January 27: The Coal Controllers’ Organisation (CCO), which has been given the responsibility to collect additional levy of Rs 295 per ton for already mined coal from holders of captive coal blocks that were de-allocated by Supreme Court in September last, has collected a total of about Rs 6100 crore on this account, an official of CCO told ICMW.

“The collection would have been higher had West Bengal government entities such as West Bengal Power Development Corporation (WBPDCL) and West Bengal Mineral Trading and Development Corporation Ltd (WBMTDCL) also paid their share of additional levy,” the official said.

The official pointed that the above two entities had mined the coal by setting up joint ventures with EMTA Group in which the majority was held by the latter, but now both WBPDCL and WBMTDCL are saying that as because mining was done by the joint venture, the additional levy too should be paid by it.

“WBPDCL has said that they had passed on the benefit of lower cost of coal from captive mines to consumers and as such they are not in a position to pay any levy,” the source added.

Meanwhile, other state governments like Karnataka and Punjab, which too had mined coal from their allotted captive coal blocks through joint venture with EMTA Group (24:76), have paid their share of levy, the source informed.

“In West Bengal, neither EMTA Group, nor WBPDCL or WBMTDCL have paid the additional levy even as Karnataka and Punjab have paid their share of additional levy,” the official added.