No final view in CCEA meet pertaining to coal mines allocation

The Cabinet Committee on Economic Affairs (CCEA) today did not a take final view after meeting here to discuss the course of strategy in connection with coal blocks allocation to companies, which have not been able to commence production.
The CCEA meeting, sources said, was convened in the wake of the Supreme Court observing last week that huge investment made by companies in coal blocks without getting clearance cannot be a ground for not cancelling licences.
The apex court had sought Centre's response whether it intended to de-allocate such mines.
Sources in the Coal Ministry said that the meeting to discuss the fate of coal blocks, which were alloted to various private companies and where production could not be commenced as per timeline, could not be concluded.

"Attorney General had written to the Coal Ministry a few days back asking it why the companies are sitting idle on the mines and not beginning production," an official said.
The Centre last week had told the apex court that it would make its stand clear next week on cancelling coal block allocations to private companies done after 2005.

Attorney General G E Vahanvati had told the court that he has suggested cancellation of all post-2005 coal block allocation where licences had not yet been granted and he will inform about the government's stand next week.
The Attorney General's submission had prompted a bench, headed by Justice R M Lodha, to question why the Centre is not cancelling the licences when no right is created on the coal blocks only by allocation.

The bench had sought to know from the Centre as to "how long will you wait" on the issue of 30 coal blocks allocated to private parties.