Panel tells Coal Ministry to consider giving 8 mines to power sector

New Delhi: A government panel has recommended the Coal Ministry may consider allocating eight mines to the power sector under government dispensation route, amid Power Minister Piyush Goyal promising 24x7 power to all.

The eight coal blocks are in the states like West Bengal, Odisha and Maharashtra, a source close to the development said. The coal blocks includes, Burapahar mine in Ib valley of Odisha, Palasbani East and Dip side of Palasbani East mines in Talcher coalfields of Odisha, Kapasdanga-Bharkata mine in Birbhum coalfields of West Bengal and Hiwardhara-Sinwadona mine in Wardha valley coalfields in Maharashtra, source said.

Goyal had, on September 7, said the government is committed to bring about a tranformative change in the power sector and ensure 24X7 power for all homes, industrial and commercial establishments and adequate power for all. He also said the government is striving to ensure adequate coal for power plants by targeting production of 1 billion tonnes by 2019.

The coal-based electricity generation from in the past three months grew by 21 per cent over the corresponding period of last year. The coal production also grew by 9 per cent in the last month as compared to August in 2013. The government is also consider auctioning 8 captive coal mines which have reserves of 1,773 million tonnes. The Supreme Court had earlier held that all coal blocks since 1993 have been allocated illegally and arbitrarily, bringing uncertainty to the fate of 218 block allocations.