Post cancellation of coal blocks, the Indian government has decided to put 49 canceled coal blocks on e-auction.
Indian government is likely to auction 49 coal blocks to the private companies and expected to reserve 24 coal blocks for steel manufacturers, while, 17 blocks for power producers. Earlier, the government had formed a sub-committee to evaluate coal block auction to private companies as well as block allocation to government companies.
The panel has recommended to reserve 8 blocks for domestic cement plants. It also suggested to allocate coal blocks to government companies that were earlier owned by PSUs and put all mines on e-auction, which were earlier hold by private companies for captive use.
A government official said, “Private coal blocks recommended for auction, while, government blocks for allotment. On the other hand, coal mines, which were utilizing for commercial purpose, have been recommended to put on e- auction that should not considered as power or cement companies.”
The Ministry of Coal has selected MSTC (Metal Scrap Trade Corporation Limited), a government owned company, as an agency to conduct e-auction for canceled coal blocks.