Deloitte may submit report on CIL restructuring by next month

Global consultancy firm Deloitte, which has been selected to carry out the study on restructuring of state-owned CIL, has been asked by the Coal Ministry to submit its report by next month.

 

"Deloitte has been asked by the Coal Ministry to submit its report by December," a source said.

 

In case Deloitte is unable to submit the report by that period "it will surely submit interim report", the source added.

 

The Coal Ministry had earlier selected Deloitte from among the nine shortlisted companies for a study on Coal India (CIL) restructuring.

 

The Ministry had invited proposals from nine shortlisted firms, including ICICI Securities, KPMG, Ernst & Young, McKinsey, Deloitte and Crisil, for restructuring of CIL.

 

An expression of interest with regard to providing consultancy for CIL restructuring was invited earlier this year and 17 firms including SBI Capital and Infosys had responded to the proposal.

 

The Coal Ministry had earlier informed the Prime Minister's Office that it will be appointing a consultant with international expertise to frame timeline to take forward the proposal on restructuring of the state-owned miner.

 

The Planning Commission and many high-level panels, including the Expert Committee on Road Map for Coal Sector Reforms - also known as T L Shankar Committee - recommended restructuring of CIL, keeping in view the rapidly increasing demand of coal, the need for enhancing coal production and to make the coal sector competitive.

 

World's largest coal miner CIL has seven subsidiaries including Bharat Coking Coal Ltd (BCCL), Central Coalfields Ltd (CCL), Eastern Coalfields Ltd (ECL) and Central Mine Planning and Design Institute Ltd. The coal producer has over 3.5 lakh employees.