Lok Sabha Question No. 210 (STARRED), answered on 2018-12-26
Subject: Allocation of Coal
Ministry: COAL
Asked by: JAY PRAKASH NARAYAN YADAV

## GOVERNMENT OF INDIA MINISTRY OF COAL LOK SABHA STARRED QUESTION NO.210 TO BE ANSWERED ON 26.12.2018

## Allocation of Coal

## *210. SHRI JAI PRAKASH NARAYAN YADAV:

## Will the Minister of COAL be pleased to state:

(a)  whether  the  Government  has  made  allocation  of  coal  quota  to  each  State  to meet the requirement of coal at local level across the country;

(b) if so, the quantum of coal in tonnes allocated across the country during each of the  last  three  years,  State-wise  along  with  the  coal  reserves  from  where  coal allocation was made, location-wise; and

(c) whether coal is allocated in a discriminatory manner across the country, due to which  consumers  have  to  pay  higher  prices  for  coal  at  local  level  and  if  so,  the details thereof, State-wise?

## ANSWER MINISTER OF RAILWAYS AND COAL

## (SHRI PIYUSH GOYAL)

(a) to (c ): A statement is laid on the table of the House.

Statement  referred  to  in  reply  to  parts  (a)  to  (c)  of  Lok  Sabha  Starred Question  No.210  for  answer  on  26.12.2018  asked  by  SHRI  JAI  PRAKASH NARAYAN YADAV: (a) The New Coal Distribution Policy, 2007 (NCDP, 2007), provided for distribution of coal to those units/consumers in small and medium sector across the country whose requirement was less than 4,200 tonnes per annum and were otherwise not having any access to purchase coal or concluded Fuel Supply Agreement (FSA) for coal supply with coal companies. The earmarked coal quantity would be distributed  through  State  Nominated  Agencies  (SNAs)  notified  by  the  State Governments. This provision of the NCDP, 2007 has been amended on 27.09.2016 by which the annual cap of 4,200 tonnes per annum for sale through SNAs has been increased to 10,000 tonnes per annum and the phrase of small and medium sector  as  mentioned  in  NCDP,  2007  has  been  amended  as  small,  medium  and others. Accordingly,  Coal  India  Limited  (CIL)  allocates  coal  to  SNAs  for  distribution  to small,  medium  and  other  consumers,  whose  annual  requirement  is  less  than 10,000  tonnes,  based  on  the  recommendation  received  from  the  concerned department of State Governments/Utilities. The quantity earmarked for distribution to SNAs is 8 Million Tonnes (MT) annually. The SNA so notified by the State Government is required to enter into Fuel Supply Agreement (FSA) with the coal company. The SNAs would be free to devise their own distribution mechanism which inspires public confidence and results in coal distribution in a transparent manner. The  concerned  State  Government  having  administrative  control  over  the  SNA would be responsible to ensure that coal is distributed to the targeted consumer in a fair and transparent manner and that appropriate action is taken to prevent its misuse. (b) The quantum of coal allocated to SNAs across the country from CIL during each of the last three years is given in Annexure. (c)  The  allocation  of  coal  to  SNAs  is  non-discriminatory  in  nature  as  the  price charged to SNA is the same notified price as applicable to other FSA consumers. The SNA is entitled to charge actual freight and up to 5% margin as service charge, over and above the notified price, from their consumers. For  enhancing  ease  of  business  and  improving  transparency,  a  web  portal  has been launched which provides small and medium consumers access to information about  State  Nodal  agencies  and  availability  &  booking/supply  of  coal  in  public domain. It also provide a platform to consumers for feedback.

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## State wise - State Nominated Agency wise Allocation

Figs. In Lac tons

|                   | Name of State Nominated Agency                             | Coal Allocation from        | 2015-16             | 2016-17             | 2017-18             |
|-------------------|------------------------------------------------------------|-----------------------------|---------------------|---------------------|---------------------|
| State             | Name of State Nominated Agency                             | Coal Allocation from        | Allocation Quantity | Allocation Quantity | Allocation Quantity |
| Arunachal Pradesh | Arunachal Pradesh Energy Development Agency                | Eastern Coalfields Limited  | 0.70                | 0.00                | 0.00                |
| Arunachal Pradesh |                                                            | Bharat Coking Coal Limited  | 0.10                | 0.00                | 0.00                |
| Arunachal Pradesh |                                                            | North Eastern Coalfields    | 0.20                | 0.00                | 0.00                |
| Assam             | Assam Small Industries & Development Corp. Ltd.            | North Eastern Coalfields    | 1.32                | 0.00                | 0.00                |
| Chhattisgarh      | Chhattisgarh State Industrial Development Corporation Ltd. | South Eastern Coal Limited  | 1.00                | 2.00                | 2.00                |
|                   | Chhattisgarh Steel Rerollers Association                   | South Eastern Coal Limited  | 1.00                | 0.00                | 0.00                |
| Goa               | Goa Handicrafts Rural & SSIDC Ltd                          | South Eastern Coal Limited  | 1.00                | 0.00                | 0.00                |
| Gujarat           | New Saurastra Briqueting Industries Assosiation            | Western Coalfields Limited  | 1.00                | 0.75                | 0.00                |
| Gujarat           |                                                            | Western Coalfields Limited  | 0.00                | 0.00                | 0.66                |
| Gujarat           | Gujarat Coal & Coke Traders & Consumers Assosiation        | South Eastern Coal Limited  | 0.45                | 0.66                | 0.75                |
| Gujarat           |                                                            | Western Coalfields Limited  | 0.00                | 0.25                | 0.25                |
| Gujarat           | South Gujarat Federation Industries Ltd                    | South Eastern Coal Limited  | 0.45                | 0.20                | 0.20                |
| Gujarat           | Kathiyawad Coal & Coke Consumers & Traders Association     | South Eastern Coal Limited  | 0.26                | 0.30                | 0.30                |
| Jharkhand         | Jharkhand State Mineral Development Ltd.                   | Central Coalfields Limited  | 4.47                | 4.72                | 4.72                |
| Karnataka         | Karnataka State Small Industries Development Corporation   | Western Coalfields Limited  | 0.40                | 0.00                | 0.00                |
| Karnataka         |                                                            | South Eastern Coal Limited  | 0.61                | 0.00                | 0.00                |
| Madhya Pradesh    | Madhya Pradesh Laghu Udyog Nigam Ltd.                      | Western Coalfields Limited  | 3.33                | 3.33                | 3.33                |
| Madhya Pradesh    |                                                            | South Eastern Coal Limited  | 3.34                | 1.00                | 1.00                |
| Maharashtra       | Maharahtra State Mining Corporation                        | Western Coalfields Limited  | 7.26                | 7.26                | 7.26                |
| Manipur           | Consumers Affair,Food and Public Distribution Department   | Eastern Coalfields Limited  | 0.70                | 0.00                | 3.95                |
| Manipur           |                                                            | Bharat Coking Coal Limited  | 0.10                | 0.00                | 0.85                |
| Manipur           |                                                            | North Eastern Coalfields    | 0.20                | 0.00                | 2.20                |
| Meghalaya         | Meghalaya Mineral Develpoment Corporation Limited          | Eastern Coalfields Limited  | 0.70                | 0.00                | 0.00                |
| Meghalaya         |                                                            | Bharat Coking Coal Limited  | 0.20                | 0.00                | 0.00                |
| Meghalaya         |                                                            | North Eastern Coalfields    | 0.10                | 0.00                | 0.00                |
| Nagaland          |                                                            | Eastern Coalfields Limited  | 0.70                | 0.70                | 0.70                |
| Nagaland          | Ura Multipurpose Co-operative Society Ltd.                 | Bharat Coking Coal Limited  | 0.12                | 0.12                | 0.10                |
| Nagaland          |                                                            | North Eastern Coalfields    | 0.20                | 0.20                | 0.20                |
| Odisha            | The Orissa Small Industries Corporation Ltd.               | Mahanadi Coalfields Limited | 0.75                | 0.75                | 0.00                |
|                   | National Small Industries Corporation                      | Mahanadi Coalfields Limited | 1.08                | 1.08                | 1.08                |
| Punjab            | Punjab Small Industries & Export Corporation Ltd.          | Central Coalfields Limited  | 1.00                | 1.00                | 1.00                |
| Punjab            |                                                            | South Eastern Coal Limited  | 1.02                | 1.02                | 1.02                |
| Punjab            |                                                            | North Eastern Coalfields    | 0.16                | 0.16                | 0.16                |
| Sikkim            | State Trading Corporation of Sikkim                        | Eastern Coalfields Limited  | 0.75                | 0.00                | 0.75                |
|                   |                                                            | Bharat Coking Coal Limited  | 0.25                | 0.00                | 0.25                |
|                   | U.P. Co-operative Federation Limited                       | Central Coalfields Limited  | 0.00                | 6.83                | 6.83                |
| Uttar Pradesh     |                                                            | Northern Coalfields Limited | 0.00                | 1.37                | 1.37                |
| Uttar Pradesh     | U.P. Small Industries Corporation Ltd.                     | Central Coalfields Limited  | 3.19                | 3.19                | 3.19                |
| Uttar Pradesh     |                                                            | South Eastern Coal Limited  | 1.37                | 0.00                | 0.00                |

|                 |                                                                    | Northern Coalfields Limited   |   0.00 |   1.45 |   1.45 |
|-----------------|--------------------------------------------------------------------|-------------------------------|--------|--------|--------|
| Uttarakhand     | Uttarakhand Rajya Sahkari Sangh Ltd.                               | Central Coalfields Limited    |   1.45 |   0    |   0    |
| West Bengal     | West Bengal Mineral Development Corporation Ltd.                   | Eastern Coalfields Limited    |   2.54 |   2.54 |   2.54 |
|                 | J&K small scale Industries Development Corporation Limited (SICOP) | North Eastern Coalfields      |   0    |   0.51 |   0.51 |
| Jammu & Kashmir | J&K State Industries Development Corpration Limited (SIDCO)        | South Eastern Coal Limited    |   0    |   0.06 |   0.06 |
|                 |                                                                    | North Eastern Coalfields      |   0    |   0.24 |   0.24 |
| Rajasthan       | Rajasthan Small Industries Corporation Limited                     | Northern Coalfields Limited   |   0    |   1.86 |   1.86 |
| TOTAL           | TOTAL                                                              |                               |  43.47 |  43.55 |  50.78 |