New Delhi: The government today said the
auction of coal blocks for captive use will take place this
fiscal and a bill is likely to be introduced in the current
session of parliament to clear the way for the competitive
bidding.
"The policy for competitive bidding of captive coal
blocks will come in the next 2-4 months, that is within
this fiscal" Coal Minister Sriprakash Jaiswal told reporters
on the sidelines of ICC India Energy Summit here.
Jaiswal said that the competitive bidding will expedite
the process of allocation of captive coal mines, weeding out
non-serious players.
"Many non-serious companies have been allocated coal
blocks under the present mechanism. Competitive bidding will
seek to address this issue," he added.
But to do that, the Mines Ministry needs to change the
existing law governing allocation of such blocks. The ministry
has said earlier it is drafting a new Act and the bill could
be introduced in the winter of the Parliament.
"The bill to replace Mines and Minerals (Development and
Regulation) Act, 1957 should be placed in the current session
of the Parliament. The delay is from Mines Ministry side,"
Jaiswal said.
The government has allocated 197 coal blocks for the
captive use to companies from power, steel and cement sectors.
The estimated reserve of such blocks totals to about 47
billion tonnes.
Bureau Report
First Published: Thursday, November 19, 2009, 20:26