Lok Sabha Question No. 1534 (UNSTARRED), answered on 2016-11-24
Subject: Allocation of Coal Blocks to Private Companies
Ministry: COAL
Asked by: RAVINDRA KUMAR PANDEY, SATISH CHANDRA DUBEY

## Government of India Ministry of Coal

## LokSabha

## Unstarred Question No. 1534

## To be answered on 24.11.2016

## Allocation of Coal Blocks to Private Companies

## 1534. SHRI RAVINDRA KUMAR PANDEY: SHRI SATISH CHANDRA DUBEY:

Will the Minister of COAL be pleased to state:

- (a) the  details  ofcoal  blocks  auctioned/  allocated  to  public  and  private  sector companies  during  the  first  and  subsequent  phases  of  coal  block  allocation separately for public and private sector-wise; and the number ofcases pending in the courts post auctioning;
- (b) the details of the coal blocks allocated to private companies under command areas  of  Bharat  Coking  Coal  Limited  (BCCL),  Eastern  Coalfields  Limited (ECL) and Central Coalfields Limited(CCL);
- (c) whether the coal companies to whom coal blocks have been allocated have set up their plants and started quarrying/ production ofcoal, if so, the details thereof  and  ifnot,  the  reasons  therefor,  company-wise  both  for  public  and private sectors;
- (d) the  company-wise  details  of  the  coal  produced/quarried  and  transported  by these companies, so far;
- (e) whether any complaints regarding sale of such coal to some coal washeries and in open market has been received ifso, the details thereofduring the last three years and the current year, company-wise and the action taken by the Government against such companies along with the remedial measures taken in this regard; and
- (f) the  revenue  earned  by  the  Union  Government  and  the  State  Governments including Jharkhand through the auctioning of coal mines, State/ UT-wise?

## ANSWER

## MINISTER OF STATE (I/C) FOR COAL, POWER, NEW & RENEWABLE ENERGY AND MINES (SHRI PIYUSH GOYAL)

(a)& (b):Allocation of 204 coal blocks/mines cancelled by Hon'ble Supreme Court are made under the provisions of the Coal Mines (Special Provisions) Act, 2015 and the Rules made thereunder. The allocation is made by way of auction to Private/Government companies as well as allotment to Government companies. So far,  83  coal  mines/blocks  have  been  allocated  under  the  said  Act.  The  command area of Bharat Coking Coal Limited (BCCL), Eastern Coalfileds Limited (ECL) and Central  Coalfields  Limited  (CCL)  are  in  the  State  of  Jharkhand  and  West  Bengal. State wise details of the 83 coal mines / blocks allocated under the said Act is at the Annexure I .

Number of cases pending in the courts in respect of coal mines / blocks auctioned and allotted is 23 and 2 respectively.

(c)&  (d):In  case  of  auction  of  coal  mines,  investment  qualification  norms  are prescribed  in  Rule  10  (4)  (d)  of  the  Coal  Mines  (Special    Provisions)  Rules,  2014 made  under  the  provisions  of  Coal  Mines  (Special  Provisions)  Act,  2015,  which provides that a person who is eligible under sub-section (3) of section 4 of the Act shall also meet the following eligibility criteria, namely:-

- (i) a company eligible to bid for any Schedule II coal mine under sub-section (3) of Section 4 of the Act shall have incurred an expenditure of not less than eighty per cent of the total project cost of the unit or phase of the specified end use plant for which the company is bidding,
- (ii) a company eligible to bid for any Schedule III coal mine under sub-section (3) of Section 4 of the Act shall have incurred an expenditure of not less than sixty per cent of the total project cost of the unit or phase of the specified end use plant for which the company is bidding .

In case  of allotment of  coal  mines  in  the  first  phase  to  Government companies, the requirement of coal for power generation capacity coming up in the State till the year 2017 was one of the evaluation criteria for the applicants.

Out of the 17 Schedule II coal mines auctioned under the provisions of the Coal Mines (Special Provisions) Act, 2015 which were operational before cancellation by the Hon'ble Supreme Court, mining operations have commenced / mine opening permission granted  in  10  Schedule  II  coal  mines.Of  the  coal  mines allotted  to  Government  companies,  mining  operations  have  commenced  in  2 Schedule II coal mines. In addition, 1 Schedule III coal mine is also operational. Rest of the Schedule II coal mines are in the process of starting mining operations after obtaining necessary statutory clearances as well as appointment of mining contractor.  Almost  all  the  clearances  at  the  level  of  the  Central  Government  have been granted for commencement of mining operations. In many cases, the matter of appointment of Mine Developer & Operator is sub-judice. Schedule III coal mines are expected  to  commence  mining  only  in  the  next  2-3  years  as  they  were  not operational at the time of the allocation.

Since commencement of mining operations, 19.341 Million Tonnes (provisional)  of  coal  have  been  produced  from  these  coal  mines  subsequent  to allocation  under  the  said  Act.  The  company  wise  details  of  coal  produced  is  at Annexure II .

(e): No such complaint has been received.

(f): The  revenue  already  generated  till  October,  2016  from  the  allocation  of  83 coal mines under the provisions of the Coal Mines (Special Provisions) Act, 2015 is Rs. 2,779.36 Crores(excluding Royalty, Cess and Taxes) which is being deposited with the coal bearing State concerned including Jharkhand.

## Annexure I

| Auction / Allotment   | State                | Name of Coal Mine / Block                                      | Successful Bidder / Allottee                |   No. of Coal Mines / Block s |
|-----------------------|----------------------|----------------------------------------------------------------|---------------------------------------------|-------------------------------|
| Allotment             | Chhattisgarh         | Gare Palma Sector I                                            | Gujarat State Electricity Corporation Ltd.  |                             1 |
|                       | Chhattisgarh         | Gare Palma Sector II                                           | Maharashtra State Power Generation Co Ltd.  |                             1 |
|                       | Chhattisgarh         | Gare Palma Sector III                                          | Chhattisgarh State Power Generation Co Ltd  |                             1 |
|                       | Chhattisgarh         | Gidhmuri, Paturia                                              | Chhattisgarh State Power Generation Co Ltd  |                             2 |
|                       | Chhattisgarh         | Madanpur South                                                 | Andhra Pradesh Mineral Development Corp.    |                             1 |
|                       | Chhattisgarh         | Parsa                                                          | Rajasthan RajyaVidyutUtpadan Nigam Ltd      |                             1 |
|                       | Chhattisgarh         | Parsa East, KantaBasan                                         | Rajasthan RajyaVidyutUtpadan Nigam Ltd      |                             2 |
|                       | Chhattisgarh         | Talaipalli                                                     | NTPC Ltd                                    |                             1 |
|                       | Chhattisgarh Total   |                                                                |                                             |                            10 |
|                       | Jharkhand            | Badam                                                          | Bihar State Power Generation Co Ltd         |                             1 |
|                       | Jharkhand            | Banhardih                                                      | Jharkhand Urja Utpadan Nigam Ltd            |                             1 |
|                       | Jharkhand            | ChattiBariatu, ChattiBariatu South                             | NTPC Ltd                                    |                             2 |
|                       | Jharkhand            | Kerandari                                                      | NTPC Ltd                                    |                             1 |
|                       | Jharkhand            | Pachhwara Central                                              | Punjab State Power Corp Ltd                 |                             1 |
|                       | Jharkhand            | Pachhwara North                                                | West Bengal Power Development Corp. Ltd.    |                             1 |
|                       | Jharkhand            | Parbatpur-Central                                              | Steel Authority of India Ltd                |                             1 |
|                       | Jharkhand            | Patal East                                                     | Jharkhand State Mineral Dev. Corp. Ltd.     |                             1 |
|                       | Jharkhand            | Rajbar D & E                                                   | TenughatVidyut Nigam Ltd                    |                             1 |
|                       | Jharkhand            | SaharpurJamarpani                                              | UP RajyaVidyutUtpadan Nigam Ltd             |                             1 |
|                       | Jharkhand            | Sitanala                                                       | Steel Authority of India Ltd                |                             1 |
|                       | Jharkhand            | Tubed                                                          | Damodar Valley Corporation                  |                             1 |
|                       | Jharkhand Total      |                                                                |                                             |                            13 |
|                       | Madhya Pradesh       | Amelia                                                         | THDC Ltd.                                   |                             1 |
|                       |                      | Suliyari                                                       | Andhra Pradesh Mineral Development Corp.    |                             1 |
|                       | Madhya Pradesh Total |                                                                |                                             |                             2 |
|                       | Maharashtra          | Baranj I, Baranj II, Baranj III, Baranj IV,Manora Deep &Kiloni | Karnataka Power Corporation Ltd             |                             6 |
|                       | Maharashtra          | Dahegaon/Makardhokra- IV                                       | Maharashtra State Mining Corporation Ltd.   |                             1 |
|                       | Maharashtra Total    |                                                                |                                             |                             7 |
|                       | Odisha               | Baitarni West                                                  | Odisha Mining Corporation Ltd.              |                             1 |
|                       | Odisha               | Dulanga                                                        | NTPC Ltd                                    |                             1 |
|                       | Odisha               | Mandakini B                                                    | NTPC Ltd                                    |                             1 |
|                       | Odisha               | Manoharpur&Manoharpur Dipside                                  | Odisha Coal & Power Ltd.                    |                             2 |
|                       | Odisha               | Naini                                                          | The Singareni Collieries Co Ltd             |                             1 |
|                       | Odisha               | Talabira II & III                                              | Neyveli Lignite Corporation Ltd.            |                             1 |
|                       | Odisha               | Utkal-E, Utkal-D                                               | NALCO                                       |                             2 |
|                       | Odisha Total         |                                                                |                                             |                             9 |
|                       |                      | Penagaddppa                                                    | The Singareni Collieries Company Ltd.       |                             1 |
|                       | Telangana            | Tadicherla-I                                                   | Telangana State Power Generation Corp. Ltd. |                             1 |
|                       | Telangana Total      |                                                                |                                             |                             2 |

|                 |                      | Barjora                            | West Bengal Power Development Corp. Ltd.             |   1 |
|-----------------|----------------------|------------------------------------|------------------------------------------------------|-----|
|                 |                      | Barjora (North)                    | West Bengal Power Development Corp. Ltd.             |   1 |
|                 |                      | Gangaramchak, GangaramchakBhadulia | West Bengal Power Development Corp. Ltd.             |   2 |
|                 | West Bengal          | Gourangdih ABC                     | West Bengal Mineral Development & Trading Corp. Ltd. |   1 |
|                 |                      | Kasta East                         | West Bengal Power Development Corp.Ltd.              |   1 |
|                 |                      | KhagraJoydev                       | Damodar Valley Corporation                           |   1 |
|                 |                      | Tara East & West                   | West Bengal Power Development Corp. Ltd.             |   2 |
|                 | West Bengal Total    |                                    |                                                      |   9 |
| Allotment Total | Allotment Total      | Allotment Total                    | Allotment Total                                      |  52 |
|                 |                      | Chotia                             | Bharat Aluminium Company Ltd.                        |   1 |
|                 |                      | Gare Palma IV - 4                  | Hindalco Industries Ltd.                             |   1 |
|                 | Chhattisgarh         | Gare Palma IV - 5                  | Hindalco Industries Ltd.                             |   1 |
|                 |                      | Gare Palma IV - 7                  | Monnet Ispat& Energy Ltd.                            |   1 |
|                 |                      | Gare - Palma Sector - IV/8         | Ambuja Cements Ltd.                                  |   1 |
|                 | Chhattisgarh Total   |                                    |                                                      |   5 |
| Auctioned       |                      | Brinda and Sasai                   | Usha Martin Ltd.                                     |   2 |
| Auctioned       |                      | Dumri                              | Hindalco IndustriesLtd..                             |   1 |
| Auctioned       |                      | Ganeshpur                          | GMR Chhattisgarh Energy Ltd.                         |   1 |
| Auctioned       |                      | Jitpur                             | Adani Power Ltd.                                     |   1 |
| Auctioned       | Jharkhand            | Kathautia                          | Hindalco Industries Ltd.                             |   1 |
| Auctioned       |                      | Lohari                             | Araanya Mines Private Ltd.                           |   1 |
| Auctioned       |                      | Meral                              | Trimula Industries Ltd.                              |   1 |
| Auctioned       |                      | Moitra                             | JSW Steel Ltd.                                       |   1 |
| Auctioned       |                      | Tokisud North                      | Essar Power MP Ltd.                                  |   1 |
| Auctioned       | Jharkhand Total      |                                    |                                                      |  10 |
| Auctioned       |                      | Amelia North                       | Jaiprakash Power Ventures Ltd.                       |   1 |
| Auctioned       |                      | Bicharpur                          | UltraTech Cement Ltd.                                |   1 |
| Auctioned       | Madhya Pradesh       | Mandla North                       | Jaiprakash Associates Ltd.                           |   1 |
| Auctioned       |                      | Mandla - South                     | Jaypee Cement Corporation Ltd.                       |   1 |
| Auctioned       |                      | SialGhoghri                        | Reliance Cement Company Pvt. Ltd.                    |   1 |
|                 | Madhya Pradesh Total |                                    |                                                      |   5 |
|                 | Maharashtra          | Belgaon                            | Sunflag Iron and Steel Company Ltd.                  |   1 |
|                 |                      | Majra                              | Jaypee Cement Corporation Ltd.                       |   1 |
|                 |                      | MarkiMangli III                    | B.S. Ispat Ltd.                                      |   1 |
|                 |                      | MarkiMangli-I                      | Topworth Urja and Metals Ltd                         |   1 |
|                 |                      | Nerad Malegaon                     | Indrajit Power Private Ltd.                          |   1 |
|                 | Maharashtra Total    |                                    |                                                      |   5 |
|                 |                      | Mandakini                          | Mandakini Exploration and Mining Ltd.                |   1 |
|                 | Odisha               | Talabira - I                       | GMR Chhattisgarh Energy Ltd.                         |   1 |
|                 |                      | Utkal - C                          | Monnet Power Company Ltd                             |   1 |
|                 | Odisha Total         |                                    |                                                      |   3 |
|                 | West Bengal          | Ardhagram                          | OCL Iron Steel Ltd.                                  |   1 |
|                 |                      | Sarisatolli                        | CESC Ltd.                                            |   1 |
|                 |                      | Trans Damodar                      | The Durgapur Projects Ltd.                           |   1 |
|                 | West Bengal Total    |                                    |                                                      |   3 |
|                 |                      | Auction Total                      |                                                      |  31 |
|                 |                      | Grand Total                        |                                                      |  83 |

2016-2017

|       |                        |                                         | Coal Production (Provisional) in Million Tonnes   | Coal Production (Provisional) in Million Tonnes   |
|-------|------------------------|-----------------------------------------|---------------------------------------------------|---------------------------------------------------|
| S.No. | Name of the coal mine  | Name of the coal mine Allocattee        | 2015-2016                                         | 2016-2017 (till September'2016)                   |
| 1     | Sarisatolli            | CESC Limited                            | 1.877                                             | 0.649                                             |
| 2     | Talabira-I             | GMR Chhattisgarh Energy Ltd.            | 0.560                                             | 0.151                                             |
| 3     | Gare Palma IV/4        | Hindalco Industries Ltd.                | 0.069                                             | 0.511                                             |
| 4     | Gare Palma IV/5        | Hindalco Industries Ltd.                | -                                                 | 0.376                                             |
| 5     | Chotia                 | Bharat Aluminium Company Ltd.           | 0.120                                             | 0.18                                              |
| 6     | Belgaon                | Sunflag Iron and Steel Company Ltd.     | 0.165                                             | 0.062                                             |
| 7     | Amelia (North)         | Jaiprakash Power Ventures Ltd.          | 2.8                                               | 2.04                                              |
| 8     | SialGhogri             | Reliance Cement Company Private Limited | -                                                 | -                                                 |
| 9 -10 | Parsa East &KantaBasan | Rajasthan RajyaVidyutUtpadan Nigam Ltd  | 6.210                                             | 3.572                                             |
| Total | Total                  | Total                                   | 11.80                                             | 7.541                                             |