MINISTER OF COAL (SHRI SRIPRAKASH JAISWAL)
(a) to (e) : A statement is laid on the Table of the House.
STATEMENT AS MENTIONED IN LOK SABHA STARRRED QUESTION NO.490 FOR ANSWER ON 7.9.2011 ASKED BY SHRI KAMESHWAR BAITHA REGARDING NEW COAL MINING LEASE
(a)&(b): The coal blocks are allocated under Rule 3(3)(a) of the Coal Mines (Nationalisation) Act, 1973. The Central Government accords only
previous approval under Section 5 of the Mines and Minerals (Development and Regulation) Acts, 1957. The power to grant mining lease in respect of coal
blocks is vested with the concerned State Government where the block is located.
With a view to bringing more transparency, the Mines and Minerals (Development and Regulation) Amendment Act, 2010 has been passed
by both the Houses of Parliament and it has been notified in the Gazette of India (Extraordinary) on 9th September, 2010. The Amendment Act
provides for granting of reconnaissance permit, prospecting license or mining lease in respect of any area containing coal or lignite on such terms
and conditions as may be prescribed to a company engaged in:-
(i) production of iron and steel;
(ii) generation of power;
(iii) washing of coal obtained from a mine; or
(iv) such other end use as the Central Government may specify by notification in the Official Gazette,.
The State Government shall grant such reconnaissance permit, prospecting licence or mining lease in respect of coal or lignite to such
company as selected through auction by competitive bidding under this section provided that the auction of competitive bidding shall
not be applicable to an area containing coal or lignite
# where such area is considered for allocation to a Government company or corporation for mining or such other specified end uses;
# where such area is considered for allocation to a company or corporation that has been awarded a power project on the basis of
competitive bids for tariff (including Ultra Mega Power Projects)
(c) : No, Sir.
(d) & (e): Does not arise in view of point (c) above.