"Coal Minister Piyush Goyal has turned down the request of the Power Ministry," an official said.
Goyal is also heading the Power ministry.
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Among the eight mines decided to be deallocated, the coal ministry has put further action in some of the mines on hold in view of the court case, he said.
The eight coal blocks are Essar Power's Chakla block in Jharkhand, Adani Power's Lohara West and Lohara Extn block in Maharashtra, Rampia and Dip side of Rampia mines in Odisha jointly allocated to companies, including Sterlite Energy and GMR Energy and Tubed mine in Jharkhand allocated to Hindalco and Tata Power, the official said.
The decision to deallocate the mines was taken following the recommendations of the Inter-Ministerial Group (IMG) set up to review the progress of development of captive coal blocks allotted to private companies.
The Power Ministry, the official said, had suggested to the Minister that the coal blocks should be reviewed taking into account investment made in end use plants, giving opportunity to the developers to present their case.
The Power Ministry had said the mines were deallocated without giving due consideration to the investment made on the EUPS.
The government had earlier given back five deallocated coal mines of some of the companies, including 3 mines of power producer NTPC.
The three coal blocks -- Chatti-Bariatu, Kerandari and Chatti-Bariatu (South), all in Jharkhand -- of NTPC were deallocated as it failed to develop them within the stipulated timeframe but was given back.