Question : Splitting up of CIL

(a) whether the NITI Aayog’s Draft Energy Policy forwarded to the Ministry has suggested the splitting up o f Coal India Limited into seven different subsidiaries and allowing them to compete against each other so as to improve the performance of CIL;
(b) if so , the details thereof;
(c) whether the Government proposes to make seven subsidiaries of CIL into separate corporate entities;
(d) if so , the details thereof; and
(e) if not, the other measures taken to enhance the performance of CIL and ensuring strong governance in coal companies?

Answer given by the minister



MINISTER OF STATE (INDEPENDENT CHARGE) IN THE MINISTRY, COAL, POWER, NEW & RENEWABLE ENERGY and MINES (SHRI PIYUSH GOYAL)

(a) & (b): Under clause 5.4.7 of Chapter 5-“Coal” of Draft National Energy Policy, Niti Aayog has suggested as following:

"In the medium to long run, it is essential that we move away from this opaque coal economy and introduce greater competition in it. This requires two key steps. First, we must corporatize the seven subsidiaries of CIL into independent companies and allow them to compete against one another in an open coal market."

(c) & (d): This is one of the recommendations in the “draft” document and does not reflect Government policy.

(e): Several measures have been taken to enhance the performance of CIL and ensuring strong governance in Coal companies:

I. Planning and execution of large Open Cast Mines deploying high capacity HEMMs.
II. Use of MS project software for monitoring of projects under implementation.
III. Deployment of state of the art technology in mines including Surface Miner in Open cast mines, Powered Support Longwall Faces (PSLW) and Continuous Miner in underground mines.
IV. Use of IT based applications in various fields to enhance productivity and better monitoring.
V. Application of unmanned aerial vehicle (UAV) for surveying purposes.
VI. Third party sampling by CIMFR for quality assurance.
VII. Safety Audit of Mines for improving safety.
VIII. Development of APPs for dissemination of information to stake holders.


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