Business Standard

Govt seeks personnel, land data for takeover of coal mines

Approximately 40,000 mn tonnes of unexplored coal capacity will move to the govt after the SC verdict that cancelled all but four coal block allocations made over two decades

Shreya Jai New Delhi
The coal ministry has asked companies for details of blocks allotted to them over the past two decades in preparation for a government takeover of coal mines whose licences were struck down by the Supreme Court last month.

The ministry has asked 204 coal block owners for details of land ownership and human resource deployment. It wants to know the number of employees with a break-up of managers, supervisors and workers in these companies. It also wants to know the land ownership status and whether the remaining land has been acquired and forest and environment clearances granted.

Jindal Steel & Power, Adani Power, Monnet Ispat & Energy, Hindalco, JSW Steel, Tata Power and Essar Group are among a host of companies that have lost rights to mine coal. Approximately 40,000 million tonnes of unexplored coal capacity will move to the government after the court verdict.
 

The government now faces the issue of acquiring land titles and taking over the mining leases. The Supreme Court cancelled all but four coal block allocations made over two decades. It gave the government six months to decide the way forward and state-owned Coal India to adjust to the changed situation.

The 42 blocks where coal is being mined and whose deallocation is effective from next April have also been asked to furnish details. These blocks will be taken over by Coal India. Around 268.2 million tonnes of coal production will move to state-owned Coal India after March 31, 2015.

"A competent authority will look into which part of what Act needs to be invoked in a certain case, whether the Coal Bearing Act or the Land Acquisition Act. This will be possible after there is clarity on the course of action," a senior coal ministry official said.

The government is seeking corroboration of information on the blocks from the directorate general of mine safety, the coal controller organisation and the coal mines provident fund commissioner.

The Supreme Court had ruled the allocation of coal blocks between 1995 and 2013 was illegal because mandatory procedures under the Mines and Minerals (Development and Regulation) Act were not followed and the Coal Mines (Nationalisation) Act, which disallows mining by private companies, was violated.

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Oct 14 2014 | 12:50 AM IST

Explore News