PM Modi to address launching of auction of 41 coal mines for commercial mining
Ministry of Coal in association with FICCI is launching the process for auction of 41 coal mines for commercial mining, Govt is looking forward to commercial coal mining as one of the most significant reforms in coal sector post-liberalisation
PSU WATCH BUREAU- JUNE 17, 2020 New Delhi: Ministry of Coal in association with FICCI is launching the process for auction of 41 coal mines on Thursday under the provisions of CM (SP) Act and MMDR Act meant for commercial coal mining. PM Modi will address during the launch of the auction process outlining his vision for the country to achieve atmanirbharata in the mining sector. This landmark step is expected to boost private participation which will increase production, induce competition, enhance productivity by facilitating the use of latest equipment, technology and services through higher investments, pave way for sustainable mining and creation of avenues for more employment generation in the backward regions of the country. With the launch of commercial mining, India has unlocked the coal sector fully with opportunities for investors related to mining, power and clean coal sectors. Govt has dubbed commercial coal mining as the historic reform post liberalisation. The coal mining auction process marks the beginning of the opening of the Indian coal sector for commercial mining. It will enable the country to achieve self-sufficiency in meeting its energy needs and boost industrial development. The commencement of this auction process of coal mines for sale of coal is part of the series of announcements made by the Government of India under the Atmanirbhar Bharat Abhiyan. The event will take place virtually at 11 AM on June 18, 2020. The event will be open to all to join virtually through various networks hosted by NIC, NeGD of MEiTY and FICCI. A two-stage electronic auction process is being adopted for allocation of the coal mines. Details about the auction process including the bid documents with the model agreement, detailed timelines of the auction process, coal mines on offer can be accessed at http://cma.mstcauction.com/auctionhome/coalblock/index.jsp which is being hosted by MSTC Limited, the auction platform provider. "The mines will contribute Rs 20,000 crores revenue annually to the state governments and will generate approximately Rs 33,000 crore of capital investment in the country over next 5-7 years" a press release issued by the Ministry of Coal mentioned.