image

States Advised to Facilitate Clearances for Coal Blocks

The coal bearing State Governments have been advised to facilitate and expedite in obtaining the various clearances, grant of mining leases and land acquisition by the coal blocks allocattees so that coal production can be increased. This information was given by the Minister of State for Coal, Shri Pratik PrakashBapu Patil in a written reply in Rajya Sabha  today.

He said that a total of 218 coal blocks with geological reserves of about 50 billion tonnes have been allocated to eligible public and private companies, out of which 178 coal blocks stand allocated as on date after de-allocation/reallocation and withdrawal of de-allocations made.  Out of the above, 35 coal blocks have come into production.

Development of coal blocks involves a gestation period of 3 to 7 years for reaching the production stage and another two to three years for reaching the optimal production capacity.  As per the guidelines, coal production from a captive coal block should commence within 36 months (42 months in case the area falls in forest land) in case of open cast mines and in 48 months (54 months in case the area falls in forest land) in case of underground mine, from the date of allocation.  If a coal block is not explored, additional two years are allowed for detailed exploration and three months for preparation of geological report.

The responsibility of developing the coal block as per the prescribed guidelines and milestone chart attached with the allocation letter rests entirely with the allocattee company. The allocattees of coal blocks, who have not started production so far, are in various stages of obtaining statutory clearances and mining lease, preparing mining plan, acquisition of land, procuring machinery and equipment etc. for both mining as well as end-use project.  Government periodically monitors and reviews the development of allocated blocks as well as end use plants by the allocattee companies in the review meetings. Further, an Inter-Ministerial Group (IMG) has been constituted on 21.06.2012 under the chairmanship of Additional Secretary (Coal) to review the progress of development of allocated coal/lignite blocks and associated end use projects of the allocattees. Wherever delays are noticed, Government issues show cause notices and advisories to such allocatteescautioning them to bring the coal blocks into production as per the guidelines/milestones chart.

Based on the recommendations of the then Review Committee and the IMG, the Government has so far de-allocated 47 coal blocks.  State-wise details of de-allocated coal blocks are at Annexure. Out of the 47 de-allocated blocks, 2 blocks were allocated again and in respect of 5 blocks allotted to National Thermal Power Corporation Ltd./Damodar Valley Corporation Ltd./Jharkhand State Electricity Board, de-allocation letters were withdrawn.

Details of de-allocated coal blocks as on date

S. No. Name of the company Block allocated Date of de-allocation State
1. Kalinga Power Corporation Ltd. Utkal-A 02.07.2003 Odisha
2. Talcher Mining Pvt. Ltd. Utkal-B1 01.08.2003 -do-
3. Lloyds Metal & Engineers Ltd. Takli-Jena-Bellora(North) 23.06.2003 Maharashtra
3 (a) Central Collieries Pvt. Ltd. Talki-Jena-Bellora(South) 03.11.2004 -do-
4. Garuda Clays Ltd. West ofUmaria Sept.,™06 Chhattisgarh
5. Shree Radhe Industries Ltd. Panchbahani Sept.,™06 Madhya Pradesh
6. Gujarat Mineral Development Corp. Jainagar 2008 Jharkhand
7. Damodar Valley Corporation Kasta(East) May, 2009 Jharkhand
8. Binani Cement Ltd. Datima 27.04.2010 Madhya Pradesh
9. Murli Industries and Grace Industries Lohara (East) 17.05.2010 Maharashtra
10 Maharastra State Mining Corp. Ltd. Agarzari 28.06.2010 -do-
11 Rashtriya Ispat Nigam Ltd. Mahal 07.03.2011 Jharkhand
12 Rashtriya Ispat Nigam Ltd. Tenughat-Jhirki 07.03.2011 Jharkhand
13 Bhatia International Ltd. Warora West (North) 30.05.2011 Maharashtra
14 Andhra Pradesh Power Generation Corporation Ltd. Ansettipalli 30.05.2011 Andhra Pradesh
15 Andhra Pradesh Power Generation Corporation Ltd. Punukula-Chilaka 30.05.2011 -do-
16. Andhra Pradesh Power Generation Corporation Ltd. Pengedappa 30.05.2011 -do-
17. Shree Baidyanath Ayurved BhavanPvt. Limited Bhandak(West) 31.05.2011 Maharashtra
18. National Thermal Power Corporation Ltd. *Chhati-bariatu 14.06.2011 Jharkhand
19. National Thermal Power Corporation Ltd. *Kerandari 14.06.2011 -do-
20. National Thermal Power Corporation Ltd. *Chhati Bariatu(South) 14.06.2011 -do-
21. National Thermal Power Corporation Ltd. Brahmini 14.06.2011 -do-
22. National Thermal Power Corporation Ltd. ChichroPastimal 14.06.2011 -do-
23. Jharkhand State Electricity Board *Banhardih 14.06.2011 -do-
24. Damodar Valley Corporation *SaharpurJamarpani 14.06.2011 -do-
25. West Bengal Power Development Corporation East ofDamagoria(Kalyaneshwari) 21.10.2011 West  Bengal
26-27 Fieldmining and Ispat Limited Chinora andWarora Southern Part 15.11.2012 Maharashtra
28. Domco Private Limited Lalgarh North 22.11.2012 Jharkhand
29. Electrosteel Castings Limited,Pawanjay Steel & Power Limited, Jharkhand Ispat Pvt. Ltd., AdhunikAlloys and Power Ltd. North Dhadu 22.11.2012 -do-
30. Bhushan Steel Limited, AdhunikMetaliks Ltd., Deepak Steel & Power Ltd., Adhunik Corporation Ltd., Orissa Sponge Iron Ltd., SMC Power Generation Ltd., Sree Metaliks Ltd. Visa Steel Ltd. New Patrapara 23.11.2012 Odisha
31. Rungta Mines Limited, Sunflag Iron & Steel Ltd. ChoritandTailaya 22.11.2012 Jharkhand
32. Bihar Sponge Iron Limited Macherkunda 22.11.2012 Jharkhand
33. Maharashtra Seamless Ltd.,DhariwalInfrastructure (P) Ltd., KesoramIndustries Ltd. Gondkhari 15.11.2012 Maharashtra
34. Electrotherm (India) Limited, Grasim Industries Ltd. Bhaskarpara 15.11.2012 Chhattisgarh
35. IST Steel & Power, Gujarat AmbujaCements Ltd., Lafarge India Pvt. Ltd. DahegaonMakardhokra IV 15.11.2012 Maharashtra
36. Himachal EMTA Power Ltd., JSW Gourangdih ABC 23.11.2012 West Bengal
37. SKS Ispat & Power Limited RawanwaraNorth 15.11.2012 Madhya Pradesh
38 Chhattisgarh Mineral Development Corporation Limited ShankarpurBhatgaon II &Extn. 30.11.2012 Chhattisgarh
39 Orissa Mining Corporation Utkal-D 30.11.2012 Odisha
40 Assam Mineral Development Corporation Ltd., M/s Meghalaya Mineral Development Corporation Ltd., M/s Tamil Nadu Electricity Board and M/s Orissa Mining Corporation Ltd. Mandakini B 05.12.2012 Odisha
41 Gujarat Mineral Development Corp. & Pondicherry Industrial Promotion Development Corp. Ltd Naini 10.12.2012 -do-
42 Gujarat Power Corp. Ltd, Kerala State Electricity Board & Odisha Hydro Power Corp. Baitarni West 10.12.2012 -do-
43 Madhya Pradesh State Mining Corporation Ltd Semaria/Piparia 15.01.2013 Madhya Pradesh
44 Jharkhand State Mineral Development Corporation Ltd. Rabodih OCP 30.01.2013 Jharkhand
45 Jharkhand State Mineral Development Corporation Ltd. Patratu 30.01.2013 -do-
46 Jharkhand State Mineral Development Corporation Ltd. Pindra-Debipur-Khaowatand 30.01.2013 -do-
47 Jharkhand State Mineral Development Corporation Ltd. Latehar 30.01.2013 -do-

Out of the above mentioned de-allocated blocks, two coal blocks namely Utkal B-1 and Utkal-A have been again allocated.

Three coal blocks, namely, Brahmini, Chicro-Pastimal and East of Damagoria (Kalyaneshwari) have been assigned to Coal India Limited.

*The de-allocation of these coal blocks has been withdrawn.

profile image

About eMinds Legal

eMinds Legal

eMinds Legal is a Corporate Law Firm based in Gurgaon, India specializing in Corporate Legal, Corporate Secretarial and Compliance. The Firm comprises of a team of Corporate Lawyers and Company Secretaries with in-depth subject matter knowledge and participative industry experience of over 15 years.

Leave a Reply

Your email address will not be published. Required fields are marked *

Corporate Law Referencer

Corporate Law Referencer

Corporate Law Referencer

India’s Leading Compliance Software

India’s Leading Compliance Software

Get A Demo Today !

Recent Articles

Recent Legal updates

Recent Gst Updates