Monday, July 4,
The Coal Ministry has warned major steel and power companies such as Arcelor Mittal Ltd, GVK Power LTD (Govindwal sahib) and DCM Shriram Consolidaed Ltd to improve their development of the allocated blocks otherwise they will face action including cancellation of the blocks.
The Ministry had issued warning letters recently to Bhushan Power and Steel Ltd, West Bengal Power Development Corporation Ltd and Mideast Integrated Steels Ltd ArcelorMittal and GVK allotted the Seregarha coal block in Jharkhand, while DCM Shriram allocated the Kaparion-ki-Dhani lignite block in Rajasthan. Any further failure in development of the blocks would lead to necessary action including de-allocation of coal blocks.
Binani Cement, NSL Nagpatnam Infratech Ltd, Tamil Nadu Electricity Board, Assam Mineral Development Corporation, Meghalaya Development Corporation and Orissa Mining Corporation were the other firms that were told to improve their development plan.
Coal production from such captive mines has been stagnant in the past two years. The delays in development of captive blocks and issues relating to environmental clearances and grant of mining leases have resulted in sluggish output from captive coal blocks.
Reported by: Neha Soni (neha.soni@steelmint.com)
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