Government to avoid competitive bidding route for some coal blocks

The Coal Ministry has indicated that certain coal
blocks out of 54 acreages that were tipped to be put up for competitive
bidding will be awarded on a nomination basis instead. 

“The Coal Ministry will allocate blocks through the government
dispensation route from the lot of 54 coal blocks set aside for auction,”
an official in the Coal Ministry said. 

However, the government has not identified the reserves to be given both
through the government dispensation and competitive bidding route. 

“The exercise for identifying the blocks is underway,” the official
said. 

Last month, the Coal Ministry had said it will allocate five coal blocks to NTPC
through the government dispensation route to meet the requirement of four
thermal power projects. 

The coal blocks would be allocated to NTPC's 500-MW facility in Raebareli, UP;
1,600-MW unit at Kudgi, in Karnataka; 1,600-MW plant at Gajmara, in Orissa; and
3,960-MW project at Barethi, in Madhya Pradesh, the Coal Ministry had said. 

Earlier, Jaiswal had said the proposed competitive bidding round for coal
blocks will be held soon.