Question : ALLOCATION OF COAL BLOCKS TO VSP



(a) whether Visakhapatnam Steel Plant (VSP) has been allocated coal blocks in Mahal and Tengughat Jhikki, Bokaro in Jharkhand;

(b) if so, the details thereof;

(c) whether these mines are having various technical, geological and surface constraints and is un-mineable;

(d) whether VSP has requested for allocation of alternate good coking coal blocks;

(e) if so, whether the Government is considering their request; and

(f) if so, the time which a final decision for allocation of good coking coal blocks to VSP is likely to be taken?

Answer given by the minister


MINISTER OF THE STATE (INDEPENDENT CHARGE) IN THE MINISTRY OF COAL AND MINISTER OF THE STATE (INDEPENDENT CHARGE) IN THE MINISTRY OF STATISTICS & PROGRAMME IMPLEMENTATION (SHRI SRIPRAKASH JAISWAL)

(a)&(b): M/s Rashtriya Ispat Nigam Limited, Visakhapatnam was allocated two coking coal blocks, namely, Mahal in Jharia coalfields with geological reserves of about 1098,50 million tonnes and Tenughat Jhirki in East Bokaro coalfields in the State of Jharkhand with approximate geological reserves of 215.78 million tonnes for its steel plant.

(c): Ministry of Steel has surrendered these two coal blocks, i.e. Mahal and Tenughat Jhirki. The reasons given by the Ministry of Steel for surrender are adverse conditions and very high investment, low extractable reserves and production cost which may take minimum 9 years to start mining.

(d) & (e): Ministry of Steel has requested for allotment of other good coking coal blocks with open cast mining possibilities. The extant guidelines do not provide for allocation of alternative coal block in lieu of surrendered coal block.

(i): Does not arise in view of reply to parts (d) & (e) above.