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Scindia for reconsidering decision on coal mines deallocation

Coal Ministry had last year deallocated coal mines of NTPC for not developing them within the stipulated time frame

Press Trust of India  |  New Delhi 

Power Minister has asked Coal Minister to reconsider the decision on deallocation of four coal blocks, including three alloted to NTPC, saying investments in the blocks could otherwise get delayed.

I request your personal and timely intervention in issuing the formal withdrawal of deallocation letter at the earliest so that and DVC (Damodar Valley Corporation) are in position to meet the project related commitments," Scindia said in a letter to Jaiswal dated November 16.

The Coal Ministry had last year deallocated coal mines of for not developing them within the stipulated time frame.

"As you are aware, Ministry of Coal had deallocated Chatti-Bariatu, Kerandari and Chatti-Bariatu (S) coal blocks of and Saharpur-Jamarpani coal block of DVC... Subsequently, detailed progress reports were submitted by and DVC on the development of these blocks to Ministry of Coal.

"Ministry of Coal after considering the reports of and DVC decided to withdraw the deallocation in principle... However, formal orders have not been issued till date," the Minister said in his letter to Jaiswal.

Scindia said the issue was also discussed by Finance Minister P Chidambaram during his meeting with the CMDs of the PSUs in September while discussing the investment proposals of in coal blocks.

"It was also discussed in PMO (Prime Minister Office) on November 7, where representatives of both ministries (Coal and Power) and CMD, were present," the letter said.

Last month, Jaiswal had said that it was not possible to give back the deallocated mines to "But we have definitely assured it (NTPC) that we will give coal blocks on a priority basis in the new process which we have started," he had said.

Chatti Bariatu, Chatti Bariatu (South), Kerandari and Saharpur-Jamarpani coal blocks are in Jharkhand.

First Published: Sun, November 18 2012. 10:29 IST