|Show-Cause Notices to Coal Blocks|
|Based on the recommendations of the Review Committee meeting held in January, 2012, Government has issued show-cause notice to allocattees of 58 coal blocks. This information was given by the minister of state for coal, Shri Pratik Prakashbapu Patil in a written reply in Rajya Sabha today.|
The Minister said that out of the 153 coal blocks allocated between 2004 and 2009, 4 coal blocks have commenced production. The blocks which have not come into production are in various stages of development. The responsibility of developing the coal block as per the prescribed guidelines and milestone chart attached with the allocation letter rests entirely with the allocatee company. In the terms and conditions of the allocation letters, it is categorically mentioned that in the event of willful delay in the development of coal blocks and in setting up of the end use project, the Government will take appropriate action to de-allocate the said block. Further, the allocatees have to submit Bank Guarantee which remains valid at all the times till the production from the coal block reaches its peak rated capacity. The Coal Controller’s office monitors on regular basis the achievement of different milestones. Government periodically monitors and reviews the development of allocated blocks as well as end use plants by the allocatee companies in the Review Meetings. As on date, based on the recommendations of review committee meetings held, the Government has de-allocated 25 coal blocks and 3 lignite blocks.