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3 coal blocks to be re-allocated to NTPC: Scindia

The three coal blocks likely to be re-allocated to NTPC are -- Chatti-Bariatu, Kerandari and Chatti-Bariatu

Press Trust of India  |  New Delhi 

Power Minister Jyotiraditya Scindia today said that three forfeited blocks of would be re-allocated to the state-owned company tomorrow as the approval is expected by the Law Ministry's by then.

The three blocks likely to be re-allocated to are -- Chatti-Bariatu, Kerandari and Chatti-Bariatu (South).

"The three blocks of would be re-allocated to the company by tomorrow after Law Ministry's approval, which is expected by today or tomorrow," he said.

The blocks were taken back from by the Ministry because of long delays in developing them.

Meanwhile, Minister Shriprakash Jaiswal said on the re-allocation of blocks to NTPC: "The matter is being looked into and would be resolved soon."

The two ministers gave comments to the media after their meeting with Finance Minister P Chidambaram on the issue of re-allocation of blocks to

The government plans to sell stake in the country's largest power producer within this fiscal ending March 31. It proposes to divest 9.5% stake in via Offer for Sale (auction) route, which could reap over Rs 12,000 crore for the exchequer.

The government has proposed to raise Rs 30,000 crore by way of disinvestment in 2012-13. It has been able to realise just over Rs 6,900 crore so far. Disinvestment of Oil India and is lined up for January and February.

The government holds 84.5% stake in the Post-disinvestment, its stake would come down to 75%.

Re-allocation of the blocks would boost the overall market valuation of NTPC, which is grappling with fuel shortages. Better share prices, during disinvestment, would in turn help in fetching higher returns for the government, which is hard-pressed for resources.

First Published: Mon, January 21 2013. 17:40 IST