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Fate of PSU’s coal mines by Oct 20:IMG Last Updated : 07 Oct 2012 11:48:44 AM IST Fate of PSU’s coal mines by Oct 20
"Coal Secretary S K Srivastava has recently conveyed it to Public Accounts Committee that the recommendations of the IMG as far as coal blocks allocated to public sector firms would be finalised by October 20," an official in the Coal Ministry told.
IMG, which had recently concluded the scrutiny of 31 coal blocks alloted to 51 private firms, is meeting this week to decide the fate of 31 coal blocks allocated to public sector firms.
PSU companies will present their case before the IMG on October 9 and 10. Of the total 31 coal blocks allotted to the public sector firms which were issued notices, around 15 coal block holders will present their case on first day, while 16 will make presentations on the second day.
The firms which will make presentations include MMTC, Chhattisgarh Mineral Development Corporation and TVNL.
The Coal Ministry is holding an internal meeting this week to discuss ways to deduct bank guarantees of private companies in case of the 14 blocks following the Inter-Ministerial Group recommending action against them.
Last month, the government has accepted the recommendations of the IMG, which had suggested de-allocation of 13 mines and deduction of bank guarantees (BGs) of 14 allottees.
Bhaskarpara coal block allotted to Grasim Industries and Electrotherm; Dahegaon Markardhokra IV given to IST Steel & Power; North Dhadu allotted to Electrosteel Castings; Choritand Telaiya allotted to Rungta Mines and Gondkhari block allotted to Maharashtra Seamless are among the 13 blocks whose deallocation has been approved.
The government also approved the deduction of the BG with regard to the coal mines of some of the firms including ArcelorMittal, GVK Power, Jayaswal Neco, Neelachal Iron & Steel and DB Power among others.
A total of 58 mines were issued show cause notices for their failure to develop blocks within stipulated timeline.
The government had formed the IMG in July to review the progress of coal blocks allocated to companies for captive use.
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