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Forum Name : Is the coal ministry pussyfooting on coal block delays?      Bulletin Board Home

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Is the coal ministry pussyfooting on coal block delays? 01 March 42906 (10:32 PM)
On paper, the Ministry of Coal (MoC) has in place a strict regimen surrounding the issue of delays surrounding captive coal blocks in India. However, in practice, even as the ministry does a reasonable job in monitoring progress on development activities, the effectiveness of its efforts to ensure that schedules are met has been spotty, at best. As of November 2010, 93 companies, comprised of 45 public and 48 private sector companies, have been asked to furnish explanations for delays at their respective coal assets. These include prominent firms like NTPC, Jindal Steel and Damodar Valley Corporation. However, even as only 17 mines have commenced operations in the country, out of the 208 captive coal blocks allocated for various end-uses since the advent of the captive allocation regime, the ministry has, thus far, penalized the developers of only 10 blocks with rescindment of their allotments. In the meantime, the country languishes for want of adequate coal supplies. Agreed that not all such delays in a bureaucratic mess like India can be blamed on developers. However, a case can be made for a more proactive role for the coal ministry to ensure that these coal blocks start production in time. As a major organ of the government, the coal ministry should take it upon itself to try and remove the hurdles being faced by the developers from within the adminstrative apparatus of the country. And in cases where the delays can be attributed to the developer, retribution should be well-defined and swift, as compared to the lethargy being exhibited right now. What do you think?
Ramanath Sahay, Kanpur, UP
21 February 42908 (03:00 AM)
Certainly, the coal ministry needs to shed off its lethargy when it comes to development of captive coal blocks because there is a huge deficit in coal supply in the country. In a situation when more and more companies are cueing up for coal blocks allocation to meet feedstock requirements of their power,steel or cement projects, the ministry can't just do away with its responsibilities by issuing show-cause notices or advisories to the defauters. It should swiftly move to punitive mode as well when an allocattee's fault is established.
26 July 46352 (02:58 PM)
Most definitely the coal ministry should play a more proactive role, specially in the context of ironing out problems faced by developers in obtaining clearances from other Ministries like Ministry of Environment and Forest (MoEF).
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