Coal Ministry has cancelled the allocation of Kudanali-Luburi coal block which was assigned to NTPC under the MMDR act.
NTPC acquired 11 coal blocks with a view to become one of the largest captive coal mining companies in the country. The company has already started operations at Pakri-Barwadih and Dulanga block, while progress at different stages was informed with respect to the remaining blocks.
In fact, the Kudanali-Luburi coal block in Odisha was jointly allotted to NTPC & State of J&K, with the former having two-third share in total reserves of the block. NTPC and JKSPDCL (J&K State Power Development Corporation) had signed the JV on 15 Jun’15 for exploration, development and operation of the block.
After facing a series of roadblock regarding the development of the coal block, NTPC had previously stated its desire to surrender shares of coal mine in the allocated coal block.
Ultimately, the request made by both the parties was considered and acted upon by the Coal Ministry to cancel the coal block allocation.
The ministry further informed that there was no provision available under MMDR Act to allocate a fresh block in lieu of a cancelled coal block, and that NTPC/JKSPDCL may have to apply afresh for coal block allocation as and when a public notice for the same is being issued.
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