Nod to 117 coal linkage proposals still awaited

Decisions on over 100 proposals for coal linkages from industries like power and sponge iron in the first seven months of the current year are still pending, Parliament was informed today.

Of the 117 applications received in the January-July, 2011, period, the maximum requests were from captive power plants, followed by state electricity boards and independent power producers, sponge iron and cement plants, Coal Minister Sriprakash Jaiswal said in a written reply to the Lok Sabha.

Jaiswal also said that since 2008, up to July, 2011, the government has received 1,258 applications for coal linkages from sectors, including power, cement and sponge iron.

The minister also said around 1,100 proposals from various sectors for coal linkages were pending since 2008, up to July 31.

"These applications would be taken up by the respective Standing Linkage Committee (SLC) (Long Term) in its meetings, as and when held, subject to the recommendations by the concerned administrative ministry, coal availability and other relevant factors," the minister said.

Jaiswal also informed the Lok Sabha that because of the limited availability of the fossil fuel, since December, 2007, the meetings of the SLC (Long Term) for cement and sponge iron sector have not been held.

Consequently, no new Letter of Assurance (LoA) has been authorised for cement and sponge iron plants since 2008, he said.

However, between 2008 and 2010, 164 power projects involving the proposed capacity addition of 54,160 MW were authorised LoA by the SLC (Long Term) for getting coal linkages, Jaiswal added.