More trouble likely for captive coal miners in Madhya Pradesh

R-Power, Essar could be hit as state mulls benefit-sharing levy for ecology loss

In yet another case of a state government asserting its right on natural resources, Madhya Pradesh is set to issue notices imposing a new environmental benefit-sharing levy on mining companies operating in the state. This could spell more trouble for captive coal mine operators, already grappling with issues of green clearances. The state’s insistence on the levy, over and above the existing royalty paid as compensation for local people, opens up a new front of reverses for at least a dozen companies, including Reliance Power, Ruias-controlled Essar Power, Jindal Steel & Power ...