Coal sector liberation: PM Modi launches coal auction for commercial mining; lists out these benefits

By: |
June 18, 2020 12:23 PM

Prime Minister Narendra Modi today launched the auction of 41 coal mines for commercial mining, via video conference.

coal sector mining, coal mining, pm modi, coal auction, 41 blocksIndia has the fourth-largest coal reserves and the country is the second-largest producer of coal.

In an effort to make India self-reliant in the energy sector, Prime Minister Narendra Modi today launched the auction of 41 coal mines for commercial mining, via video conference. In his address, PM Modi said for decades, the country’s coal sector was entangled in a web of captive and non-captive and was excluded from the competition. Narendra Modi added that the commercial coal mining auction is an event in challenging times, which will increase transparency in the sector and make the country less reliant on imports. The Prime Minister further said that consumption and demand are rapidly approaching the pre-COVID levels, hence, there cannot be a better time for a new beginning.

India has the fourth-largest coal reserves and the country is the second-largest producer of coal. PM Modi underlined that India will get new resources from today’s step and the states will get higher revenue from coal sector liberalisation. Along with the commercialisation of coal mining, the government has also set a target to gasify around 100 million tonnes of coal by 2030. PM Modi said that he has been informed about 4 projects that have been identified for this and about Rs 20,000 crores will be invested for coal gasification projects.

Also Read: Modi’s ‘Garib Kalyan Rojgar Abhiyaan’ to create infra, jobs in rural India; set to launch on June 20

Speaking about the Atma Nirbhar Bharat mission of the government, PM Modi said that India will turn coronavirus crisis into an opportunity as it has taught India to be self-reliant and reduce dependence on imports. The Prime Minister also urged the industry players to look at each product and sector with a view to make it ourselves. He added if there are crores of consumers in India, there are also crores of producers in the country.

Meanwhile, PM Modi highlighted that major economic indicators show that the economy is quickly rebounding to the pre-Covid levels. Further, he once again reminded the industry that the government is standing with the industry and if the industry takes two steps, the government will take four steps.

Do you know What is Cash Reserve Ratio (CRR), Finance Bill, Fiscal Policy in India, Expenditure Budget, Customs Duty? FE Knowledge Desk explains each of these and more in detail at Financial Express Explained. Also get Live BSE/NSE Stock Prices, latest NAV of Mutual Funds, Best equity funds, Top Gainers, Top Losers on Financial Express. Don’t forget to try our free Income Tax Calculator tool.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1RBI stays pat on rates, allows liquidity glut to persist for now
2World sees India as a trustworthy and promising partner: PM Modi at IIT 2020 Global Summit
3Not just pent up demand that is reviving economy: FM Nirmala Sitharaman