20.2.14

De-allocation of Coal Blocks

The coal ministry has accepted the recommendation of an inter-ministerial group (IMG) and issued formal letters for de-allocating 29 blocks on the grounds of squatting, including those given to Essar Power, Hindalco, Tata Power and Jindal Steel and Power Ltd.
The group had recommended that no action should be taken in case of 30 other mines.
The IMG recommended de-allocation of Chakla and Ashok Karkatta coal blocks in Jharkhand allocated to Essar Power; Tubed coal block in Jharkhand jointly allocated to Hindalco Industries and Tata Power and Gare Palma IV/6 in Chhattisgarh jointly allotted to firms like JSPL and Nalwa Sponge Iron Ltd, among others, according to a coal ministry document.
While in the case of two coal blocks — Kotre Basantpur and Pachmo in Jharkhand — allocated to Tata Steel, the IMG has recommended that the mines are “liable to be de-allocated” and the “decision (on the same) to be taken by the government in view of the court case,” the document said.
The document, however,said no action at present was being taken against coal blocks of companies like Jayaswal Neco Ltd, Jas Infrastructure Capital Ltd, JSW Steel, JLD Yavatmal Energy Ltd and Balco, among others. The IMG on coal blocks, which met for two days on February 7 and 8, reviewed the progress of development of 61 blocks.

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