Govt finalises rules for coal mines auction

The government today said it has finalised the rules for the auction of 204 coal mines that were deallocated by the Supreme Court.
The rules pave the way for auction of 92 coal blocks, including 42 under production, in the first phase of bidding on February 11.
"A draft of the Coal Mines (Special Provisions) Rules, 2014 which the Central government proposes to make under the Coal Mines (Special Provisions) Ordinance, 2014 was placed on the website... Coal Mines (Special Provisions) Rules, 2014 were finalised after considering the objections and suggestions," the Coal Ministry said on its website.
Separately, earlier in the day, the Lok Sabha passed a bill which provides for fresh auction of 204 coal blocks de-allocated by the Supreme Court in September, with the government allaying apprehensions of some parties that the legislation would lead to privatisation of the sector.

The ministry further said that it had requested the members of public and all the persons likely to be affected to submit their objections and suggestions, if any, to the government.
"In response to such public notice the Ministry of Coal received objections and suggestions from the members of the public and the persons likely to be affected thereby," the ministry said.

The ministry said that if any further objections and suggestions are received on the rules, they will be considered and "the rules shall be suitably amended."
Out of the 92 coal blocks to be alloted and auctioned in the first lot, 57 mines would be given to the power sector, while the rest would be for sectors like steel and cement, the government had earlier said.

Of the 57 blocks to be allotted and auctioned for the power sector, 23 will be considered for allotment to states and the rest will be put for auction.
The apex court had termed the allocation of 204 mines since 1993 as "arbitrary and illegal".
The government has already made it clear that the number of mines a company can bid will be capped to avoid monopoly.