By Our Correspondent
NEW DELHI/BHUBANESWAR: The Nominated Authority, Ministry of Coal, launched the auction process for coal mines under the CM (SP) Act and the MMDR Act earmarked for Sale of Coal on March 25, 2021. This is the second tranche of auction of coal mines for Sale of Coal which paves way for liberalisation of Indian coal sector enhancing efficiency, competition and private sector participation leading to development of a vibrant coal market, boosting economic growth and employment generation.
The response to this auction tranche, till now, has been tremendous which is reflected in around 50 mine specific tender documents being purchased by the Bidders till date while many other prospective Bidders are in the process of registration and purchase of the tender documents from the auction portal.
The bid submission date has been extended to enable interested parties to travel to mine locations for inspection once the lockdown conditions are removed in different States of India.
As part of the (12th tranche of auction under the Coal Mines (Special Provisions Act-2015) and 2nd tranche of auction under the Mines and Minerals (Development and Regulations) Act of 1957, as many as 13 Coal Blocks belongs to Odisha , were put for commercial bidding.
A total of 67 Coal blocks both fully and partially explored including 13 in Odisha were put for auction. All these blocks belongs to Madhya Pradesh, Odisha, Jharkhand, Chhattisgarh, Maharashtra and Andhra Pradesh. Bidders may note that all the presentations provided are for ease of understanding of the auction process by the Bidders. In case of any discrepancies between the presentation and the Tender Document (including mine dossier) & Agreement, the provisions of the Tender Document (including mine dossier) & the Agreement will prevail, the notification of Union Coal Ministry had said.
Odisha Blocks included Machhakata and Mahanadi Odisha under CM(SP) Act, 2015 having status fully explored followed by Nuagaon Telisahi Odisha under CM(SP) Act, 2015 having status of fully explored. Similarly, Ramchandi Promotion Block Odisha under CM(SP) Act, 2015, which is partially explored , Alaknanda Odisha under MMDR Act, 1957 , also partially explored, Bartap Odisha MMDR Act, 1957 Partially Explored, Burapahar Odisha MMDR Act, 1957 Fully Explored, Dip Extn of Belpahar Odisha MMDR Act, 1957 Partially Explored, Dip Side of Chatabar Odisha MMDR Act, 1957 Partially Explored, Kardabahal-Brahmanbil Odisha MMDR Act, 1957 Fully Explored, Kosala West Odisha MMDR Act, 1957 Fully Explored, Phuljhari East & West Odisha MMDR Act, 1957 Fully Explored, Saradhapur North Odisha MMDR Act, 1957 Fully Explored and Tentuloi Odisha MMDR Act, 1957 Fully Explored were put for auction.
Notably, 19 mines were successfully auctioned in thefirst-ever tranche of commercial coal mining auctions held last year with the premium quoted by the successful bidders ranging from 9.5% to 66.75%. The agreements between the Ministry of Coal and the successful bidders were signed in January this year. States will fetch around Rs. 7000 crores of revenues from these auctions considering production at peak rated capacity of 51 Million Tonnes Per Annum (MTPA).
Of the total 35 coal mines successfully auctioned in the last 10 tranches of auction, only 14 blocks could begin operations, sources said. The recent auction of coal mines for commercial mining witnessed “fierce competition” and the 19 blocks that went under the hammer can generate total revenues of around ₹7,000 crore per annum and create more than 69,000 jobs once they are operationalized.Out of 38 mines put on auction, 19 mines were successfully auctioned.42 companies participated in the auction, out of which 40 were private players.In June, Prime Minister Narendra Modi launched the auction process for 41 coal blocks for commercial mining. Some of the corporate biggies that have bagged blocks include Adani Enterprises, Vedanta, Hindalco Industries and Jindal Power.
