The Indian government wants the private sector to take up underground coal gasification to reduce the carbon footprint of the coal sector, which is also a step towards the country achieving net zero emissions by 2070.
The record numbers indicate renewed confidence in the coal sector as the Indian government seeks to ensure energy security for the country through thermal power till the time firm renewable energy becomes affordable.
The forthcoming auction offers 27 coal blocks distributed across various states and regions, designed to promote regional economic growth, and create employment opportunities.
The coal mines are expected to generate an annual revenue of Rs 9,831 crore and capital investment of Rs 7,929 crore, an official release noted.
Data from the coal ministry showed that from about 50 auctioned coal mines under the private sector since February 2020, at least three have become operational. Overall, since 2019, about 27 coal mines, across all sectors, have been operationalised so far.
The PSU won the bids for Burapahar block having a geological reserve of 548 million tonnes (MT) and the Baitarani (West) block having geological reserve of 1,152 MT.
MSTC, under the Ministry of Steel, conducts e-auction of various materials and minerals and mines.
The biggest tranche of 141 mines covering eleven coal-bearing states are being offered in the sixth round of commercial coal mine auction.
While the estimated production will be higher as compared to FY21, it will fall short of the initial target of 203.67 million tonnes.
" For the two years as coal secretary, I did not convene a single meeting in Delhi. I used to travel to each state where coal exists once in two months to engage with the chief secretary, senior officers and with all the district magistrates on video conference, and discuss the big issues relating to land acquisition and forest and environment clearance."
The agency yesterday registered a case of criminal conspiracy and cheating against the company and unidentified persons.
Lashing out at former prime minister Manmohan Singh for his criticism of demonetisation, Union Power Minister Piyush Goyal today said it was the UPA government who did the "height of organised loot" and "mismanagement of economy" in allocation of coal blocks.
"A meeting of the technical committee (TC)...is scheduled to be held on November 11, 2016...for examination/evaluation, as per the Terms of Reference of the TC, of applications as received in response to (Coal) Ministry's Notice inviting applications," a notice issued by the ministry said.
Government has approved the request of Reliance Power to mortgage coal blocks attached to Sasan UMPP to lenders of the plant.
"Audit could not draw an assurance that the potential level of competition was achieved during...bidding of 11 coal mines auctioned in the first two tranches," Comptroller and Auditor General (CAG) said in the latest report on e-auction of coal mines.
The secretary further said at present there are no plans for opening up the sector to private parties and the government will consider on the same as the demand for coal picks up.
Eight out of the 16 mines will be allocated to the host states (where the mine is located) and the balance will be for non-host states, Coal Secretary Anil Swarup said.
Also, a sum of Rs 162.46 crore has been transferred to the state governments of coal bearing states viz. Chhattisgarh, Madhya Pradesh, Maharashtra, Odisha and West Bengal on account of monthly payment (up to October, 2015), the official added.
"The government has decided to allot Talabira-II and -III coal blocks in Odisha to Neyveli Lignite Corporation," an official said.
The Minister also said the private players who will be shortlisted for the revival of closed fertiliser plants in Sindri and other places would also be able bid for coal blocks for manufacturing urea.
In a written reply, Coal and Power Minister Piyush Goyal informed the Lok Sabha that the upfront payment from auction of coal blocks is Rs 341.78 crore.
Government is clear on its investments especially in the manufacturing sector, Rupesh Patel, Fund Manager, Tata Mutual Fund told CNBC-TV18.
Owners of operational coal blocks, which were cancelled by the Supreme Court, will have to shell out nearly Rs 10,500 crore as additional levy.
JSPL‘s Naveen Jindal, Madhu Koda – ex Chief Minister of Jharkhand and Dasari Narayan Rao, the Minister of State (MoS) coal at the time when the coal allocation was done and ex coal secretary SC Gupta have been named in the chargesheet.
The coal production from captive mines more or less measured up to the government's estimate, which stood at 52.9 million tonnes (MT) last fiscal. The output registered an increase of 34 percent amid a widening gap between demand and supply of coal.