The government has provided state-owned enterprises with a one-time window to surrender non-operational coal mines without paying a penalty and without requiring to cite any reasons. The move is expected to free up 45 such coal mines for reallocation through the recently launched commercial coal mines auction policy and ensure higher production of the dry fuel going forward.
“A three months’ time will be granted to the allottee government companies to surrender the coal mines from the date of publication of the approved surrender policy,” an official statement said.
These mines were allocated to public sector enterprises, both central and state, on the allotment route after the Supreme Court cancelled them on various charges in 2014. These were allocated rather hastily to prevent immediate disruption of coal supplies to thermal power plants.
“Till December 2021, 45 mines out of 73 coal mines allotted to government companies, remained non-operational and due date of commencement of mining operations in case of 19 coal mines has already over,” the statement said.
Delays in operationalising the mines were due to reasons beyond the control of allottees which include law and order issues; enhancement in the area of forest from what was declared earlier; the resistance of land-holders against land acquisition and geological surprises in terms of availability of coal resources.
“Early operationalization of coal blocks will provide employment, boost investment, contribute to the economic development of backward areas in the country, reduce litigation and promote ease of doing business leading to a reduction in import of coal in the country,” the government said.