Policy on surplus coal usage may be ready by November

The draft policy on the usage of surplus coal from captive mines circulated to concerned ministries is likely to be finalised by this November-end, a coal ministry source said Thursday.

The draft policy has been sent for consultation to the law, power, finance and railway ministries, besides the Department of Industrial Policy and Promotion.

Coal Secretary S.K. Srivastava told mediapersons here Wednesday that a committee of secretaries to the government will be examining the draft policy on surplus coal usage that has been circulated to the ministries for their comments.

Earlier this week, the government set up a three-member committee headed by Planning Commission member B.K. Chaturvedi to examine issues related to utilisation of surplus coal from captive mines.

The panel will look into implications, legal issues and mechanisms of usage of surplus coal from captive blocks, all from the perspective of increasing domestic production.

The annual domestic demand for coal is over 770 million tonnes as against last fiscal's production of 557.60 MT.

The deficit of over 200 MT, met through imports, resulted in doubling of the coal import bill to $18 billion in 2012-13.