India: Government to Periodically Review the Progress of Coal Blocks 

The Government periodically reviews and monitors the progress and development of coal blocks as well as associated end use plants through the mechanism of 'Review Committee' earlier and 'Inter-Ministerial Group (IMG)' now which has been constituted on 21.06.2012 in pursuance of the announcement made by the Finance Minister in the budget speech for the year 2012-13. In case of unsatisfactory progress on the part of allocattees, appropriate action will be taken including de-allocation of the block. On the basis of review made by the Review Committee, 20 coal blocks were de-allocated due to unsatisfactory progress and 5 coal blocks surrendered by the allocatees were de-allocated. Based on the recommendations of the IMG, 22 coal blocks have been de-allocated so far. This information was given by the Minister of State for Coal, Shri Pratik PrakashBapu Patil in a written reply in RajyaSabha. 

The minister said that the Coal blocks are allocated for captive mining to eligible public and private sector companies registered under the Indian Companies Act, 1956 for approved and specified end-use projects (EUPs) to be set up as well as existing ones viz. generation of power, production of iron & steel, production of cement, washing of coal obtained from a mine and production of syn-gas through coal gasification (underground and surface) and coal liquefication, in pursuance of Section 3 of the Coal Mines (nationalization) Act, 1973. The production from the coal blocks is expected to be synchronized with the commissioning of the end-use plants for which the block is allocated.