New Delhi [India], September 17 (ANI): The Ministry of Coal on Thursday launched the 16th round of commercial coal mine auctions, offering 25 coal blocks across nine coal-bearing states, while handing over Coal Mine Development and Production Agreements (CMDPAs) for six mines auctioned in earlier rounds.
The Ministry of Coal in an official statement on Thursday stated that the six mines, once operational, are expected to generate around Rs 1,984 crore in annual revenue, attract nearly Rs 1,743 crore in capital investment and create approximately 15,700 employment opportunities, the Ministry of Coal said in an official statement.
The 16th round of commercial coal mine auctions was launched in New Delhi by Minister of State for Coal and Mines Satish Chandra Dubey. He also handed over the CMDPAs to successful bidders along with Coal Secretary Vikram Dev Dutt.
The CMDPAs were executed for Tara (Revised), Margo West, Margo East, Mandla South, Dongeri Tal-II and Dip Side of PKoC.
The successful bidders include CG Syn-Gas & Chemicals Ltd., Jharkhand Exploration & Mining Corporation Limited, Qube Commercial Pvt. Ltd., Gallant Ispat Ltd. and The Singareni Collieries Limited.
The six mines together have geological reserves of approximately 1,504 million tonnes and a combined Peak Rated Capacity of 11.62 MTPA.
For the latest auction round, the Ministry is offering 25 coal blocks, including 21 fully explored and four partially explored mines. The blocks are spread across Arunachal Pradesh, Bihar, Chhattisgarh, Jharkhand, Madhya Pradesh, Maharashtra, Odisha, Telangana and West Bengal.
Of the 25 blocks, six are being offered under the Coal Mines (Special Provisions) Act (CMSP), while 19 are being offered under the Mines and Minerals (Development and Regulation) Act (MMDR).
The Ministry said the blocks are open to experienced mining companies, new entrants and technology-driven enterprises under the commercial coal mining framework.
The framework provides for no end-use restrictions, 100 per cent foreign direct investment through the automatic route and low upfront payments adjustable against future revenue share.
With the latest round, India's commercial coal mining auction programme has completed 16 rounds since the sector was opened to commercial mining in 2020.
The ministry highlighted that so far, a total of 147 coal mines have been auctioned, with cumulative expected annual revenue of more than Rs 47,500 crore and projected capital investment of over Rs 55,000 crore across nine coal-bearing states.
Addressing the launch, Dubey highlighted the importance of coal in meeting India's energy requirements. According to the Ministry, coal accounts for around 55 per cent of the country's primary energy requirement and more than 70 per cent of its electricity generation.
Additional Secretary and Nominated Authority Rupinder Brar said the coal sector is moving towards a more transparent, technology-enabled and competitive ecosystem, while highlighting the potential to unlock domestic resources, attract investment and create new opportunities.
Additional Secretary Sanoj Kumar Jha also highlighted coal gasification as an important avenue for value addition and innovative utilisation of India's coal resources. He stressed the need for faster technology adoption and greater use of global technologies and best practices suited to India's requirements.
The Ministry said it remains focused on reforms in the coal sector, wider participation and investment, and ensuring a reliable and affordable energy supply. (ANI)
Govt launches 16th coal auction with 25 blocks, six mines to generate Rs 1,984 crore annually
