Jharkhand's coal mine rehabilitation package at Rs 7,800 cr: CIL

Coal India Ltd (CIL) has said the compensation-cum-rehabilitation package for the state of Jharkhand, worked out by the Central Mine Planning and Design Institute, a subsidiary of CIL, would stand at around Rs 7,800 crore.

The package, which is one of the largest packages worked out for rehabilitation and compensation by any public sector till tade, was hanging fire since 1999. It is set to be implemented over the next 10 years.

Speaking at the sidelines of a seminar on infrastructure organised by the Madras Chamber of Commerce and Industry on Saturday, N C Jha, chairman and managing director, Coal India Ltd, said the project had been approved by the government and that the fund was available for the programme. He said that it was now necessary to explain the details of the package to the local people and to secure their approval, as well as that of the state government.

The Jharia Rehabilitation and Development Authority (JRDA) is in charge of relocating thousands of families who would have to vacate their homes in the mining town's fire zones. They would be relocated to new houses, which were under construction, he said.

According to the plan, the JRDA was scheduled to oversee relocation of the Jharia township which stands on an underground mine fire, raging for nearly a century. As many as 1.12 lakh families, whose homes were in the danger zone, faced subsidence and would have to be relocated.

Currently, the state has coal resources to the tune of 5 billion tonne and 40 per cent of this lies in inhabited area.

Jha said the company had 1.5 million tonne of coking coal stock, for which there was no taker. “We don’t know what to do with the resources and now we have decided to auction them,” said Jha.

According to reports, the package was revised twice — in 2003 and in 2006 — and was confronted with a public interest litigation (PIL) before the Supreme Court. The director general of mines’ safety had played an active role in its clearance. It said about five townships would be built with the money to rehabilitate around four lakh people. The townships would be set up north of the Jharia coalfields, away from fire and subsidence assault.

According to the package, Bharat Coking Coal Limited would be in charge of fighting the fires, while the rehabilitation work would primarily be carried out by the JRDA.