Lok Sabha Question No. 1904 (UNSTARRED), answered on 2019-07-03
Subject: Coal Allocation
Ministry: COAL
Asked by: Krupal Balaji Tumane

## GOVERNMENT OF INDIA

## MINISTRY OF COAL

## LOK SABHA UNSTARRED QUESTION NO. 1904

TO BE ANSWERED ON 03.07.2019

## Coal Allocation

## 1904.SHRI KRUPAL BALAJI TUMANE:

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

- (a)  the details of the quantum of coal allocated/supplied to States during the current year;
- (b) whether the Government has reviewed the allocation of coal to States recently;
- (c) if so, the details thereof along with the reasons therefor;
- (d) whether the State Governments have requested the Union Government for additional allocation and supply of coal to meet their requirements;
- (e) if so, the details thereof; and
- (f) the decision taken by the Union Government on such requests?

## ANSWER

## MINISTER OF PARLIAMENTARY AFFAIRS, COAL AND MINES

## (SHRI PRALHAD JOSHI)

(a): The  details  of  quantity  of  coal  allocated  to  the  State  Nominated  Agencies  (SNAs), notified by the concerned States, by Coal India Limited (CIL) for the current year 201920 (up to 27.06.2019) and the quantity of coal supplied against this  allocation is  as under:

## (Fig in Lakh Tonnes (Provisional))

| State          | State Nominated Agencies (SNAs)                              |   Earmarked Quantity |   State Recommendation |   Allocated Quantity |   Lifting |
|----------------|--------------------------------------------------------------|----------------------|------------------------|----------------------|-----------|
| Chattisgarh    | Chattisgarh State Industrial Development Corporation Limited |                 3.46 |                   1    |                 1    |      0.17 |
| Gujarat        | Gujarat Coal Coke Traders & Consumers Association            |                 2.16 |                   2.16 |                 1.16 |      0    |
| Gujarat        | Kathiyawad Coal & Coke Consumers & Traders Association       |                 2.16 |                   2.16 |                 1    |      0    |
| Jharkhand      | Jharkhand State Mineral Development Corporation Limited      |                 8.25 |                   6    |                 6    |      0.6  |
| Maharashtra    | Maharastra State Mining Corporation                          |                 7.26 |                   7.26 |                 7.26 |      0.31 |
| Madhya Pradesh | Madhya Pradesh Laghu Udyog Nigam Ltd.                        |                 6.67 |                   4.33 |                 4.33 |      0    |
| Manipur        | Consumers Affair,Food and Public Distribution Department     |                 7    |                   7    |                 7    |      0    |
| Punjab         | Punjab Small Industries & Export Corp. Ltd                   |                 2.18 |                   2.18 |                 2.18 |      0    |

| Tripura       | Tripura Small Industries Corporation Ltd.                |   0.35 |   1.00 |   1.00 |   0.00 |
|---------------|----------------------------------------------------------|--------|--------|--------|--------|
| Uttar Pradesh | U.P. Co-operative Federation Limited                     |  11.39 |   6.83 |   6.83 |   0    |
| West Bengal   | West Bengal Mineral Development Trading Corporation Ltd. |   3.14 |   1.2  |   1.2  |   0.16 |

(b)to(f): 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  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.

Further, the request of the State Governments for any additional allocation in favour of the  SNA  is  also  taken  into  consideration  by  CIL  based  on  the  availability  of  coal. However, the overall allocation to the SNAs is within the 8 MT basket earmarked under NCDP.

***