Draft report on Coal India restructuring under consideration

The government today said the report submitted by Deloitte on restructuring options for Coal India (CIL) is under consideration.
The 'Maharatna' firm, which accounts for over 80 per cent of the domestic coal production, has failed to meet its production targets over the last few years.
"Ministry of Coal has engaged Deloitte Touche Tohmatsu India Pvt Ltd as a consultant to suggest possible restructuring options for CIL," Coal and Power Minister Piyush Goyal said in a written reply to the Lok Sabha.
The draft report submitted by the consultant is under consideration, he added.
T L Shanker Committee on Road Map for coal sector reforms, Goyal said, had recommended restructuring of CIL keeping in view the rapidly increasing demand for the dry fuel and the need for enhancing the production to make the sector competitive in the rapidly changing economic scenario.

Goyal had earlier said that the government will not split the world's largest coal miner but will work to smoothen the edges and improve its performance.

Consultancy firm Deloitte has recommended to the government options such as reforming the company and its subsidiaries through 'internal changes in structure, systems and roles.'
The consultancy firm had also suggested setting up of independent mega regional companies or the phased creation of independent entities with the continuation of the holding company during the transition.
CIL missed its output target of 482 million tonnes by producing 462 million tonnes of coal in 2013-14. In FY'13, CIL produced 452.5 MT coal, short of the goal of 464 MT.