Lok Sabha Question No. 1681 (UNSTARRED), answered on 2022-07-27
Subject: Disinvestment of Coal India Ltd.
Ministry: COAL
Asked by: Bhola Singh, Rajveer (Raju Bhaiya) Singh, Sukanta Majumdar, Raja Amareshwara Naik, Vinod Kumar Sonkar

## GOVERNMENT OF INDIA MINISTRY OF COAL LOK SABHA

## UNSTARRED QUESTION NO. 1681 TO BE ANSWERED ON 27.07.2022

## Disinvestment of Coal India Ltd

1681  SHRI BHOLA SINGH: SHRI RAJVEER SINGH (RAJU BHAIYA): DR. SUKANTA MAJUMDAR: SHRI RAJA AMARESHWARA NAIK: SHRI VINOD KUMAR SONKAR:

Will the Minister of COAL  be pleased to state:

- (a) whether the Government has recently empowered the Boards of the Central Public Sector Enterprises  (CPSEs)  to  privatize,  disinvest  or  close  their  subsidiaries  and  stakes  in  joint ventures and if so, the details thereof;
- (b)  whether  the  Coal  India  has  been  making  profit  since  its  inception  and  contributing sizeable share of dividends to National and State exchequers and to the shareholders in the country and if so, the details thereof;
- (c)  whether the  Government has decided to go for disinvestment of the Coal India and its subsidiaries;
- (d) if so, the details thereof and the reasons therefor; and
- (e) the number of CPSEs under the Ministry which has been already privatized and the long term benefit derived therefrom?

## ANSWER

## MINISTER OF PARLIAMENTARY AFFAIRS, COAL AND MINES (SHRI PRALHAD JOSHI)

- (a)      The Government of India on 01.06.2022 have empowered the Boards of holding/parent Public Sector Enterprises (PSEs) (Ratna and Non-Ratna both) as  under:

i) To recommend on Disinvestment (both strategic disinvestment and minority stake sale) or closure of any of their Subsidiaries or Units or for sale of stakes in a Joint Venture (JV) company, whether set up in pursuance of the approval of Cabinet/Cabinet Committee on Economic Affairs  (CCEA)  or  within  the  delegated  powers  of  the  PSEs.  Proposal  in  this regard shall be submitted by the Parent/ Holding PSEs to DIPAM through its administrative Ministry.  DIPAM  shall  take  'in-principle'  approval  of  the  proposal  from  the  Alternative

Mechanism  (AM).  Boards  of  Maharatna  PSEs  shall  continue  to  divest  its  shareholding (minority  stake  sale)  as  per  the  powers  delegated  to  them  in  the  year  2010  under  the Maharatna scheme.

- ii) To undertake transactions for disinvestments (both strategic disinvestment and minority stake  sale)/closure  of  subsidiaries/units/  sale  of  stakes  in  JVs,  including  for  such  cases, where 'in-principle' approval by the CCEA/AM has been accorded
- (b)  Coal India Limited (CIL) has not been making profit since its inception. CIL has been earning profit before tax consistently since 1991-92 except for the year 2000-2001. The Profit Before  Tax  of  CIL  (Consolidated)  &  Dividend  paid  by  CIL  since  Initial  Public  Offering (IPO) i.e. from FY 2010-11 is as below-

| COAL INDIA LTD (CONSOLIDATED) - SINCE IPO   | COAL INDIA LTD (CONSOLIDATED) - SINCE IPO   | COAL INDIA LTD (CONSOLIDATED) - SINCE IPO   | COAL INDIA LTD (CONSOLIDATED) - SINCE IPO   | COAL INDIA LTD (CONSOLIDATED) - SINCE IPO   |
|---------------------------------------------|---------------------------------------------|---------------------------------------------|---------------------------------------------|---------------------------------------------|
| Sl No.                                      | Year                                        | Profit Before Tax ₹ In Crore                | Total Dividend ₹ In Crore                   | Dividend per share ₹ In Crore               |
| 1                                           | 2                                           | 3                                           | 4                                           | 5                                           |
| 1                                           | 2010-11                                     | 16463.24                                    | 2463.38                                     | 3.90                                        |
| 2                                           | 2011-12                                     | 21272.66                                    | 6316.36                                     | 10.00                                       |
| 3                                           | 2012-13                                     | 24979.04                                    | 8842.91                                     | 14.00                                       |
| 4                                           | 2013-14                                     | 22879.54                                    | 18317.46                                    | 29.00                                       |
| 5                                           | 2014-15                                     | 21583.92                                    | 13074.88                                    | 20.70                                       |
| 6                                           | 2015-16                                     | 21439.80                                    | 17306.84                                    | 27.40                                       |
| 7                                           | 2016-17                                     | 14446.33                                    | 12352.76                                    | 19.90                                       |
| 8                                           | 2017-18                                     | 10770.31                                    | 10242.24                                    | 16.50                                       |
| 9                                           | 2018-19                                     | 27126.87                                    | 8105.58                                     | 13.10                                       |
| 10                                          | 2019-20                                     | 24071.32                                    | 7395.27                                     | 12.00                                       |
| 11                                          | 2020-21 *                                   | 18009.24                                    | 9860.40                                     | 16.00                                       |
| 12                                          | 2021-22* (Provisional)                      | 23616.28                                    | 10476.64                                    | 17.00                                       |

Final Dividend for FY 2021-2022 to be approved by the shareholders at the AGM. Payment to Exchequer of last 5 years is summarized in Annexure-A.

- (c) & (d)  Ministry of Coal has agreed to the proposal for minority stake sale of two of the subsidiaries of CIL namely Bharat Coking Coal Limited (BCCL) and Central Mine Planning & Design Institute (CMPDI).
- (e) No CPSE has been privatized under the Ministry of Coal.

## Details of Payment to Exchequer of last 5 years

| Particulars                                | MP                | Chhattisgarh      | WB                | Jharkhand         | Maharashtra       | UP              | Odisha            | Assam      | Total              |
|--------------------------------------------|-------------------|-------------------|-------------------|-------------------|-------------------|-----------------|-------------------|------------|--------------------|
| Royalty Addnl Royalty under MMDRAct        | 1,729.04          | 2,193.01          | 16.45             | 2,918.07          | 988.10            | 352.09          | 1,752.01          | 45.07      | 9,993.84           |
| -DMF -NMET                                 | 433.71 34.80      | 695.70 48.16      | 3.72 0.36         | 787.80 58.10      | 279.34 19.76      | 244.69 7.03     | 525.58 35.03      | 11.72 0.90 | 2,982.26 204.14    |
| Goods and Service Tax:                     |                   |                   |                   |                   |                   |                 |                   |            |                    |
| -CGST                                      | 142.19            | 189.55            | 33.23             | 210.84            | 102.49            | 37.83           | 171.61            | 3.69       | 891.43             |
| -SGST                                      | 142.19            | 189.55            | 34.72             | 210.84            | 102.49            | 37.83           | 171.61            | 3.69       | 892.92             |
| -IGST GST Compensation Cess                | 41.94 2,807.84    | 109.79 3,691.41   | 81.20 729.68      | 329.22 3,194.44   | 15.54 1,301.04    | 0.02 684.09     | 325.49 4,195.91   | 0.47 27.37 | 903.67 16,631.78   |
| Cess on coal                               | 2.40              | 15.05             | 1,597.06          |                   |                   | 13.22           |                   | 3.90       | 1,631.63           |
| State Sales Tax / VAT                      | 88.89             | 209.43            | 88.04             | 115.65            | 140.65            | 68.52           | 191.42            | 1.06       | 903.66             |
| Central Sales Tax                          | 62.54             | 63.29             | 24.63             | 36.68             | 10.51             | 4.97            |                   | 1.89       | 204.51             |
| Stowing Excise Duty                        | 31.33             | 57.12             | 14.54             | 54.23             | 19.52             | 7.16            | 33.36             | 0.21       | 217.47             |
| Central Excise Duty Clean Environment Cess | 34.61 626.30      | 39.61 2,328.09    | 64.29 473.41      | 143.27 1,506.70   | 592.68            | 0.36 229.69     | 230.50 1,334.59   | 8.27       | 512.64 7,099.73    |
| Entry Tax                                  | 12.46             | 39.06             | 1.76              |                   |                   | 8.14            | 16.38             |            | 77.80              |
| Others                                     | 546.30            | 195.79 10,064.61  | 3,163.09          | 63.82             | 3,572.12          | 93.18 1,788.82  | 8,983.49          | 108.24     | 899.09 44,046.57   |
| Total Royalty                              | 6,736.53          |                   | 18.02             | 9,629.66          |                   | 426.20          | 2,035.36          |            | 11,277.38          |
| Addnl Royalty under MMDRAct                | 1,937.56          | 2,491.80          |                   | 3,150.68          | 1,172.94          |                 |                   | 44.82      | -                  |
| -DMF                                       | 498.58            | 646.61            | 0.37              | 742.39            | 351.63            | 16.26           | 610.50            | 13.45      | 2,879.79           |
| -NMET Goods and Service Tax:               | 38.62             | 50.04             | 0.37              | 64.65             | 23.47             | 9.04            | 40.71             | 0.90       | 227.80             |
| -CGST                                      |                   | 287.75            | 36.29             | 404.49            | 147.57            | 58.21           | 230.62            | 23.95      | - 1,425.44         |
| -SGST                                      | 236.56            |                   |                   |                   | 147.57            | 58.21           | 230.62            |            | 1,412.43           |
| -IGST                                      | 236.46 0.19       | 287.75 1.07       | 36.22 166.77      | 398.49 285.72     | 0.51              | -               | 443.00            | 17.11 1.75 | 899.01             |
| GST Compensation Cess                      | 3,927.91          | 5,601.89          | 1,214.39          | 4,780.19          | 1,989.23          | 808.78 -        | 5,692.12          | 30.16      | 24,044.67          |
| Cess on coal State Sales Tax / VAT         | - -               | - -               | 1,670.85          | - 7.42            | - -               | -               | - -               | 3.92 -     | 1,674.77 7.42      |
| Central                                    | -                 |                   | -                 | 6.98              | -                 |                 | -                 |            | 6.98               |
| Sales Tax Duty                             |                   | -                 | -                 |                   |                   | -               |                   | -          |                    |
| Central Excise Entry Tax                   | - -               | - 3.69            | 0.03 -            | 6.87 -            | - -               | - -             | - -               | - -        | 6.90 3.69          |
| Others Total                               | 605.39 7,481.27   | 217.82 9,588.42   | - 3,143.31        | 76.21 9,924.09    | - 3,832.92        | 60.73 1,437.43  | - 9,282.93        | - 136.06   | 960.15 44,826.43   |
| Royalty MMDRAct                            | 1,930.86          | 2,238.37          | 17.80             | 2,754.16          | 1,187.16          | 406.41          | 2,115.69          | 31.59      | 10,682.04          |
| Addnl Royalty under                        |                   |                   |                   |                   |                   |                 |                   |            | -                  |
| -DMF                                       | 587.38            | 635.91            | 5.32              | 835.68            | 356.41            | 131.42          | 561.75            | 9.48       | 3,123.36 214.31    |
| -NMET Goods and Service Tax:               | 41.08             | 42.42             | 0.35              | 60.24             | 23.74             | 8.80            | 37.05             | 0.63       | -                  |
| -CGST                                      | 249.95            | 256.60            | 26.94             | 384.18            | 147.72            | 53.74           | 232.71            | 12.76      | 1,364.60           |
| -SGST                                      | 249.95            | 256.60            | 23.08             | 390.26            | 147.72            | 53.74           | 232.71            | 9.84       | 1,363.90           |
| -IGST                                      | 0.51              | 0.79              | 161.66            | 0.94              | 0.66              | 0.92            | 0.99              | 1.08       | 167.55 23,166.07   |
| GST Compensation Cess Cess on coal         | 4,201.98 -        | 5,258.75 -        | 1,175.93 1,856.87 | 4,493.26 -        | 1,956.43 -        | 737.18 -        | 5,320.10 -        | 22.44 2.58 | 1,859.45           |
| State Sales Tax / VAT Central Sales Tax    | -                 | 4.48              | 0.10              | 7.42              | - -               | -               | -                 | - -        | 12.00 20.36        |
| Central Excise Duty                        | - -               | - -               | 0.64 6.71         | 19.72 14.22       | -                 | - -             | - -               | -          | 20.93              |
| Entry Tax                                  | -                 |                   |                   | -                 | -                 | -               | -                 | -          | -                  |
| Others                                     | 650.52            | - 246.29          | - -               | 113.94            | -                 | 53.40           | -                 | -          | 1,064.15           |
| Total Royalty                              | 7,912.23 1,830.08 | 8,940.21 2,111.06 | 3,275.40 15.77    | 9,074.02 2,558.36 | 3,819.84 1,149.06 | 1,445.61 393.25 | 8,501.01 1,624.71 | 90.40 6.07 | 43,058.72 9,688.36 |
| Addnl Royalty under MMDRAct                |                   |                   |                   |                   |                   |                 |                   |            | -                  |
| -DMF                                       | 569.47            | 665.85            | 4.73              | 738.69            | 344.73            | 118.64          | 541.23            | 1.83       | 2,985.17           |
| -NMET                                      | 38.00             | 42.36             | 0.32              | 60.91             | 22.98             | 7.83            | 36.45             | 0.12       | 208.97             |
| Goods and Service Tax: -CGST               | 268.30            | 261.86            | 20.47             | 425.67            | 148.97            | 60.28           | 230.36            | 3.27       | - 1,419.18         |
| -SGST                                      | 268.30            | 261.86            | 20.47             | 425.67            | 148.97            | 60.28           | 230.36            | 3.27       | 1,419.18           |
| -IGST                                      | 8.77              | 3.36              | 116.91            | 18.87 4,098.56    | 1.39              | 6.67 496.79     | 0.60              | 0.78       | 157.35             |
| GST Compensation Cess Cess on coal         | 4,271.71 -        | 5,081.56          | 1,005.41 2,045.49 | -                 | 1,806.12 -        | -               | 5,748.60 -        | 3.49       | 22,512.24          |
| State Sales Tax / VAT                      | -                 | - 3.77            | 1.06              | 0.85              | -                 | -               | -                 | 0.18 -     | 2,045.67 5.68      |
| Central Sales Tax                          | -                 | -                 | 0.95              | 5.05              | -                 | -               | -                 | -          | 6.00               |
| Others                                     | 859.41            | 289.92            | -                 | 322.16            | -                 | 68.50           | -                 | -          | 1,539.99           |
| Total                                      | 8,114.04          | 8,721.60          | 3,231.58          | 8,654.79          | 3,622.22          | 1,212.24        | 8,412.31          | 19.01      | 41,987.79          |
| Royalty                                    | 2,197.32          | 2,256.04          | 15.65             | 3,028.27          | 1,662.89          | 475.24          | 2,390.43          | -          | 12,025.84          |
| Addnl Royalty under MMDRAct -DMF           | 656.03            | 671.25            | 4.70              | 914.01            | 498.87            | 157.79          | 716.53            | -          | - 3,619.19         |
| -NMET                                      | 43.70             | 48.18             | 0.31              | 60.53             | 33.26             | 10.52           | 47.60             | -          | 244.10             |
| Goods and Service Tax: -CGST               | 307.25            | 290.07            | 14.55             | 492.98            | 203.07            | 67.41           | 290.61            | -          | - 1,665.94         |
| -SGST                                      | 307.25            | 290.07            |                   | 492.98            | 203.07            | 67.41           |                   |            | 1,665.94           |
|                                            |                   |                   | 14.55             |                   |                   |                 | 290.61            | - -        | 165.49             |
| -IGST GST Compensation Cess                | 8.46 4,731.80     | 1.83 5,803.48     | 137.44 971.73     | 7.15 4,668.37     | 0.32 2,424.88     | 9.13 797.63     | 1.17 6,924.33     | -          | 26,322.22          |
| Cess on coal                               | -                 | -                 | 1,911.30          | 13.55             | - -               | - -             | - -               | 0.14       | 1,924.99 1.17      |
| State Sales Tax / VAT                      | - -               | - -               | - -               | 1.17 0.19         | -                 | -               | -                 | - -        | 0.19               |
| Central Sales Tax Others                   | 898.17            | 412.56            | 3.82 3,074.05     | 660.26            | -                 | 68.50 1,653.63  | - 10,661.28       | - 0.14     | 2,043.30 49,678.36 |
| Total                                      | 9,149.98          | 9,773.47          |                   | 10,339.44         | 5,026.37          |                 |                   |            |                    |

## Annexure-A

Rs. In Crore.