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The coal ministry today initiated theprocess of competitive bidding of captive coal blocks by inviting applications from companies for three such acreages with estimated reserves exceeding 499 million tonne (MT).
The first round of auctioning, an attempt to infuse transparency in the allocation of reserves, comes at the back of allegations of irregularities under an earlier regime of allocation through the Screening Committee route.
“The government has initiated an auction of coal blocks by inviting applications for the first time for allocating blocks through competitive bidding for specified end-uses. The bidders are required to bid abovethe prescribed floor price,” coal ministry said in a statement.
Two blocks in Jharkhand — Jhirki & Jhirki (West) and Tokisud-II — and one in West Bengal — Andal Babuisol — are to be auctioned to steel, sponge iron and cement companies.
Jhirki & Jhirki (West) of East Bokaro coalfield, withcoking coal reserves of 267.9 MT, would be allocated to steel companies. Andal Babuisolof Raniganj coalfield, with reserves of 103.8 MT, is to be given to a spongeiron company. Tokisud-II of South Karanpura coalfield, with reserves of 127.6 MT, is earmarked for cement companies.
The last date for buying documents is May 27. The detailed documents, including request for proposal (RfP) and geological reports are available at the Central Mine Planning and Design Institute (CMPDI).
