Lok Sabha Question No. 2032 (UNSTARRED), answered on 2015-12-10
Subject: Cancellation of Coal Blocks
Ministry: COAL
Asked by: KESHAV PRASAD MAURYA, ANSHUL VERMA

## GOVERNMENT OF INDIA MINISTRY OF COAL LOK SABHA UNSTARRED QUESTION No. 2032

## TO BE ANSWERED ON 10.12.2015

## Cancellation of Coal Blocks

## 2032.    SHRI KESHAV PRASAD MAURYA: SHRI ANSHUL VERMA:

Will the Minister of COAL be pleased to state:

- (a) whether the Government has cancelled  some captive coal blocks in the country;
- (b)  if so, the details thereof and  the reasons therefor along  with the action taken/proposed to be taken against these companies;
- (c)  the  total  number of coal  mines available  in  the country and  the  number of  mines auctioned out  of  the  coal  blocks  that  were  cancelled  by  the  Supreme  Court  and  the  revenue  earned therefrom;
- (d) whether  the  National  Thermal  Power  Corporation  (NTPC)  and  other  public  sector companies have taken part in the auction and if so, the details thereof; and
- (e) whether any policy  has been  framed to  minimise dependence on  import of coal  so that foreign exchange is saved and if so, the details thereof?

## ANSWER MINISTER OF STATE (INDEPENDENT CHARGE)FOR POWER, COAL AND NEW & RENEWABLE ENERGY

## (SHRI PIYUSH GOYAL)

(a)  to  (c):  Hon'ble  Supreme  Court  of  India  in  its  judgment  dated  25.08.2014  and  order  dated 24.09.2014 passed in W.P.(Criminal) No.120 of 2012 and other connected  matters declared all allocations  of  the  coal  blocks  made  through  Screening  Committee  and  through  Government Dispensation  route  since  1993  illegal  and  arbitrary  and  cancelled  the  allocation  of  204  coal blocks out of 218 coal blocks (i.e. except, Tasra coal block allocated to Steel Authority of India Ltd.  and  Pakri  Barwadih coal block  allocated  to National  Thermal Power Corporation and 12 coal  blocks  allocated  for  Ultra  Mega  Power  Projects).  In  case  of  42  coal  blocks  (37  producing and 05 likely to come under production), cancellation had taken effect from 31.03.2015.

The  Central  Bureau  of  Investigation  (CBI)  has  registered  3  Preliminary  Enquiry  (PE) cases regarding alleged irregularities in allocation of coal blocks - relating to allocation of coal blocks to private companies during  the period 2006-09, relating  to allocation of coal blocks to private  companies  during  the  period  1993-2004  and  relating  to  allocation  of  coal  blocks  to Government companies. In view of the various observations of Hon'ble Supreme Court of India in W.P. (Criminal) No.120 of 2012, it would not be possible for the Ministry of Coal to obtain any details from CBI in this regard.

As informed by  Coal Controller organization(CCO), there are 506  operating coal mines in India, out of which,  Coal India Limited is working in 431 coal mines  and Singareni Collieries Company Limited(SCCL)  is working in 48 coal mines in the country. So far 31 coal blocks have been auctioned out of the coal blocks that were cancelled by the Supreme Court. The estimated amount  of  revenue  which  would  accrue  to  the  coal  bearing  States  concerned  over  the  life  of mine/lease period from the auction/allotment of coal blocks is Rs.344974 crores.

(d):    National  Thermal  Power  Corporation  (NTPC)  has  not  taken  part  in  the  auction  of  coal mines. However,  in  total, five  public  sector  companies, namely, Rashtriya Ispat  Nigam Limited(RINL),  Steel  Authority  of  India  Limited(SAIL),  Durgapur  Projects  Limited(DPL), Singareni Collieries Company Limited(SCCL) and West Bengal Power Development Corporation Limited(WBPDCL) have taken part in the auction .

(e):  As per the current import policy, coal is under Open General Licence(OGL) and consumers are free to  import coal  from the source of their choice as per their contractual prices on payment of applicable duty.  However, the focus of the Government is on increasing coal production to the  extent  possible  by  facilitating  environment  &  forest  clearance  expeditiously,  pursuing  with State  Government  for assistance  in  land acquisition and coordinated efforts with  Railways  for movement of coal.

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