Coal news and updates

With the Union government recently promulgating an ordinance for e-auctioning of coal blocks, the state government is planning to write to the Centre to consider allotting coal reserves in Odisha to state-owned public sector undertakings (PSUs) on priority.

 

Citing gross irregularities in allocation of coal blocks, the Supreme Court in September quashed allotment of 214 out of 218 coal blocks to various private companies and PSUs since 1993.

 

"In the state's interest, we would urge the Centre to allot coal blocks in the state to state PSUs," energy secretary Suresh Mohapatra told TOI.

 

Steel and mines minister Prafulla Mallick said, "It is our long-standing demand to accord priority to state PSUs during allocation of coal blocks. We would reiterate our demand after consulting chief minister Naveen Patnaik."

 

The state government is also likely to oppose allocation of a coal block to more than one PSU as it delays the process, official sources said.

 

"Allocation of a coal block to more than one company based in different states creates problems during land acquisition," a senior mines department officer said.

 

Between 1993 and 2011, the Centre jointly allocated around 32 coal blocks in the state to various PSUs and private companies. Of these, the coal ministry had de-allocated seven blocks, including Mandakini-B, Utkal-D, New Patrapara, Naini, Baitarani West, Ramchandi promotional, North of Arkhapal-Srirampur, on grounds of tardy pace of development.

 

 

Source: ToI