Centre plans to permit sale of 50% coal from captive blocks

Centre plans to permit sale of 50% coal from captive blocks

2021-02-21 11:41:35

NEW DELHI: The center plans to allow the sale of 50 percent of the coal / lignite produced by captive blocks, an action aimed at increasing production and increasing the availability of dry fuel.
The government intends to do this by including a provision in the Mines and minerals (Development and Regulation) Act, 1957 (MMDR).
"In the note for consultation of Ministry of MinesIt is proposed to include a provision in law allowing the sale of 50 percent of the coal / lignite produced by own mines on an annual basis. Furthermore, an additional amount will be charged on the merchant sales of coal / lignite by the trapped miners, "the ministry of coal said briefly.
The ministry said it has sought comments from coal state governments and stakeholders / general public on the said proposals.
The Ministry of Mines has also asked for comments from state governments, including on the proposals for additional changes being considered in the MMDR law.
The mines ministry has also requested comment from Ministry of Coal about the said design proposal. Some of the draft proposals listed are also applicable in the case of coal / lignite … Before sending final comments / response to the Ministry of Mines, it is considered appropriate to seek comments from coal state governments … on issues with regard to coal / lignite, ”said the Ministry of Coal.
In India, coal imports are increasing from year to year. In 2015-16, the country imported 203.95 million tons (MT) of coal, which was increased to 248.54 MT in 2019-20 and the resulting expenditure of about 1.58 lakh crore on foreign exchange.
Since coal is an important input for several core sectors, an increasing availability of coal will result Aatmanirbhar Bharat
Allowing the sale of own-mined coal will increase production of fossil fuels from own mines and increase the availability of dry fuel in the market, reducing coal imports.
Furthermore, it is proposed to specify the additional amount to be paid in such a sale in the law itself rather than having it specified according to the rules laid down in the law in the same way as will be specified for the other minerals.
The additional amount to be charged has been discussed in the Ministry of Coal, it said.
The Ministry of Mines consultation note proposes charging an additional fee for the granting and renewal of mining contracts (ML) of both coal and non-coal government companies, he said.

. (tagsToTranslate) Business News (t) Ministry of Mines (t) Ministry of Coal (t) Mines and Minerals (t) Coal Ministry (t) Coal Blocks (t) Aatmanirbhar Bharat


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