Question : RAMCHANDI PROMOTIONAL BLOCK



(a) Whether it is a fact that a number of coal mines including Ramchandi Promotional Block (Coal to Liqui

(d) in Talcher Coalfields, District Angul, Odisha have been allocated to private companies which were not fulfilling the eligibility conditions;

(b) if so, the details thereof, State-wise and company-wise; and

(c) the action taken up by the Government against such companies?

Answer given by the minister



MINISTER OF STATE IN THE MINISTRY OF COAL (SHRI PRATIK PRAKASHBAPU PATIL)

(a) to (c): Captive coal blocks were allocated to eligible private sector companies registered under the Indian Companies Act, 1956 for approved end-use projects viz. generation of power, production of iron & steel, production of cement and production of syn-gas through coal gasification (underground and surface) and coal liquefication for captive mining in pursuance of Section 3 of the Coal Mines (Nationalisation) Act, 1973, based on the recommendations of the Screening Committee constituted for this purpose. The Screening Committee was a broad based body with representation from State Governments, related Ministries of the Central Government and the government coal companies. As per the minutes, the Screening Committee assessed the applications having regard to the matters such as techno-economic feasibility of the end use project, status of preparedness to set up the end use project, past track record in execution of projects, financial and technical capabilities of the applicant companies, recommendations of the state governments and the administrative Ministry concerned. Ramchandi Promotional block (Coal to Liquid) was allocated in favour of M/s. Jindal Steel & Power Ltd. based on the recommendations of Inter-Ministerial Group headed by Member (Energy), Planning Commission.

The Central Bureau of investigation (CBI) has registered 3 Preliminary Enquiry (PE) cases regarding alleged irregularities in allocation of coal blocks – relating to allocation of coal blocks to private companies during the period 2006-09, relating to allocation of coal blocks to private companies during the period 1993-2004 and relating to allocation of coal blocks to Government companies. Further, it is reported that the CBI has registered 14 FIRs in respect of various companies. The investigation by CBI is being monitored by the Hon’ble Supreme Court of India.