FE@CAMPUS MASTERMIND:Response by Abhishek Kumar Singh to question for Jan 14-20

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Jan 20 2013, 14:44 IST
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the norms governing environmental clearances pertaining to projects of Coal India Ltd  were simplified to expedite approvals. This will reduce the time taken to obtain environmental clearances to six/seven months from two-three years. The simplification of the process will help CIL raise annual output by as much as 42 million tonnes  in about a year. CIL, the world’s biggest coal miner, produced 431 mt in 2010-11 against a target of 461.5 mt because of stalled projects. It failed to meet its 2011-12 target of 440 mt as well, mining 435.84 mt, but has set a target of producing 468.74 mt in 2012-13 amid environment-related hurdles and is under pressure from power companies to step up supplies.

Although there is a mandated time frame for each clearance, delays occur because of unsatisfactory administrative arrangements in place to support the procedure for granting or refusing clearances. A tug-of-war is going between different ministries, especially  Finance Ministry and Ministry of Environment wherein recently MOF proposed for a setup of National Investment Board in order to administer a speedy process of granting environmental licenses. Recently in a welcome step, The environment ministry has simplified the procedures for granting clearances to special economic zones as it seeks to shed the anti-industry image. Not to forget,the environment ministry is seen by industry as a big hurdle in project execution as many large investment proposals have been blocked because of issues with the ministry. For example, coal ministry has repeatedly complained that environmental clearances were a big hurdle

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