Deallocated mines won't be taken away: Power Min to NTPC

The Power Ministry has assured that the de-allocated coal blocks of state-run power producer NTPC will not be handed over to any other firm, a top company official said.

Responding to media reports on the de-allocated coal blocks of NTPC being transferred to another state-run firm, Neyveli Lignite Corporation, NTPC CMD Arup Roy Choudhury told reporters here, "Our ministry has communicated to us that the mines can not be taken away from us."

He also said the Coal Ministry may re-look into the issue.

The Coal Ministry recently de-allocated three coal blocks awarded to NTPC over the failure of the firm to develop them. The three NTPC coal blocks for which mining rights were repealed were Chhati Bariatu (South), Chatti Bariatu and Kerandari, all situated in Jharkhand.

The Chatti Bariatu and Kerandari coal blocks in the North Karanpura coalfields in Jharkhand were allocated to NTPC in 2006 for captive use in their own specified projects. The Chatti Bariatu (South) coal block was given to the public sector firm in 2007.

Meanwhile, NTPC will import 16 million tonnes of coal in the current financial year (2011-12) to bridge the shortfall from domestic sources.

Of the total 16 million tonnes, 12 million tonnes would be imported through State Trading Corporation (STC) and the remaining would be imported by the company itself.

"We would be importing around 12-16 million tonnes of coal during this fiscal... 12 million tonnes by STC and 4 million tonnes ourselves," Choudhury added.

The total coal requirement of the company during this fiscal stands at 164 million tonnes.