"All the coal blocks allotted to private companies must be cancelled and auction system must be introduced in the country," state BJP chief Shamsher Singh Manhas said.
"PM should accept the moral and political responsibility for the coal scam and resign from his post for a fair probe into the matter," he said.
The BJP leader said that an independent inquiry may be carried out in the scam by a Special Investigation Team.
The Union government should also roll back on its decision to hike the diesel price, permit FDI in retail and restrict the number of subsidised cooking gas cylinder, he said.