Govt receives 32 applications from companies for 4 coal mines

The Coal Ministry has received 32 applications from companies like NMDC and RINL in response to the notice inviting applications for allocation of four coal blocks on tariff-based bidding.

"A total number of 32 applications from 10 state government companies as well as central public sector undertakings (CPSUs) have been received," said a Coal Ministry note on the discussions of the committee meeting held earlier this month.

The ministry had recently formed a technical panel to examine the applications for the coal blocks to be allotted to power producers through tariff-based bidding.

The ministry further said that with "regard to applications received from NMDC, RINL (Rashtriya Ispat Nigam Ltd)...The committee observed that prima facie these companies require coal for captive purposes and it needs to be ensured whether they are entitled for distribution of power".

"Central Electricity Authority/Ministry of Power were requested to ensure the same while offering their comments," the ministry said.

The government had said in December that it has identified four coal blocks to be allocated to power producers on tariff-based bidding and invited applications for it.

"Four coal blocks have been identified for allocation to power projects on the basis of competitive bids for tariff and applications for the same were invited on December 20," according to a Coal Ministry statement.

Under the newly-initiated bidding policy, 17 coal mines --14 for power and three for mining -- were allocated to state government companies and Central PSUs.

Coal Minister Sriprakash Jaiswal had earlier said that the much-awaited auction of coal blocks may happen in March.