Andhra Pradesh chief Minister K Rosaiah on Thursday decided to entrust the development work of all coal blocks held by AP Genco to Singareni Collieries Company Limited (SCCL).
The decision comes in the wake of the adverse reactions on the proposed awarding of work to private bidders.
At a review meeting at Secretariat, the Rosaiah said an arrangement between APGenco and SCCL would be worked out to protect the public and consumer interests.
AP Genco’s proposal to award the mine development to a private developer was viewed as an action that would harm the interests of SCCL.
According to officials, AP Genco, which got the Tadicherla-I coal block allotted from the ministry of coal, invited bids to select the mine developer cum operator (MDO).
APGenco decided to include the cost of the land, expenditure towards relief and rehabilitation and cost of the transportation of crushed coal from the mine to the Kakatiya Stage-II Thermal Power Project covering a distance of 17.5 km in the expenditure to be incurred by the MDO.
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