Coal news and updates

E-auction of 46 coal blocks to begin on Feb. 14

The government has begun re-allocating cancelled coal blocks. E-auction, in two phases, of 46 coal mines would begin on February 14. While 23 Schedule II mines (those that are producing already) would be auctioned between February 14 and March 5, another 23 blocks, falling under Schedule III (ready to produce), would be put on offer between February 25 and March 5.

“We started with 42 mines in Schedule II and 32 mines in Schedule III. Subsequently, 27 mines were transferred from Schedule I (all 204 mines) to Schedule III, and this took thereby taking the number to 101,” Mr. Swarup said. However, with three mines falling in the ‘no go’ areas, the effective number of mines would be 98.

The Coal Ministry would set issue guidelines for those companies which already had ve linkages to surrender them. “Such public entities that have coal linkages…can surrender [them] and then apply for coal blocks... Once the linkage gets surrendered, that much coal will be made available to Coal India to be given to other entities [needing coal],” he said.

In December last, the government promulgated an ordinance for re-allocation of 204 coal blocks cancelled by the Supreme Court in August.

The government hopes to conclude the re-allocation process by March 31, Mr. Swarup said.