Skip to main content

Reforms in Coal Sector


Government has initiated steps for reforms in coal sector of the country. The major steps taken/being taken for the development of the coal sector of the country as under:-

(1)                                       Setting up of a Coal Regulatory Authority:

The Government has initiated action for setting up of an independent coal Regulatory Authority for more optimal development and conservation of coal resources, more effective regulation of price and quality, adoption of best mining practices, better coal distribution and creation of a level playing field for new entrants in the sector.  The Cabinet Note along with the draft Bill for a Coal Regulatory Authority has been submitted to the Cabinet.

(2)                                       Switching over GCV based Grading System:

In line with the best International coal trading practices, the Government has switched over to the Gross Calorific Value (GCV) classification of non-coking coal, in place of Useful Heat Value (UHV) based grading and pricing system.  This will improve the quality of coal supply and reduce the consumer complaints.

(3)                                       More Autonomy to the Government Coal Companies:

Towards granting more financial autonomy for faster decision making, Government has granted Coal India Limited (CIL), a Maharatna company status and six of its subsidiary companies, Mini Ratna status.  Besides,Neyveli Lignite Corporation Ltd (NLC) has also been granted a Navratna company status.

(4)                                       Signing of Long Term Fuel Agreements:-

As per the provisions of National Coal Distribution Policy (NCDP), Bilateral Fuel Supply Agreements with all valid licensed consumers have been signed.  FSAs with power utilities are also being signed by CIL under a Presidential Directives.

(5)                                       Allowing Coal Mining by the Private Sector:

To allow Indian companies both public and private sectors to mine coal in the country without existing restrictions of captive mining and to be engaged in exploration of coal in the country, a Bill has been introduced in the Parliament.

The Government is encouraging coal companies to invest in coal assets abroad.  In this regard, CIL has acquired two coal blocks in Mozambique.   Besides above, other steps of reform such as allocation of coal blocks for captive use, E-auction of coal, listing of coal and lignite companies and increasing of coal washery facilities in the country etc. are also being progressed.

Comments

Popular posts from this blog

Union HRD Minister to Release NBT-NCAER Study on Reading Habits of the Literate Youth of North-East India

Youth of North-East India: Demographics and Readership (Highlights) Union Human Resource Development Minister Dr M  M   Pallam   Raju ,  will release a report  Youth of North-East India: Demographics and Readership  in New Delhi tomorrow,  20 th  November, 2012. Ministers of State for HRD,  Sh   Jitin   Prasada  and Dr  Shashi   Tharoor  would also be present on the occasion. This focused Report attempts to give an analytical and detailed account of the reading habits of the literate youth in the north-eastern states and their exposure to different forms of media, and how diverse socio-economic and motivational factors impact their reading habit. The reading of ‘leisure or non-text books’ among the literate youth is the special focus of the study. The Report is a follow-up study of the  National Youth Readership Survey  (2009-10) assigned to National Council of Applied Economic Research (NCAER) by the NBT under the National Action Plan for the Readership Development amon

Major Initiatives for Farmers

Pic Courtesy : indiainfoline.com The Government gives very high priority to agriculture and specially to the prosperity of farmers. It is implementing a number of large schemes and providing funds to State governments for taking new initiatives for increasing farmers’ incomes. Some of the major actions taken in the recent past are given below:  • Government has raised MSP in recent years by huge margin. MSP for wheat and rice has been more than doubled in last 8 years. MSP for some pulse crops has gone up three times.  • Government has doubled the sugarcane support price in four years. It stands at Rs. 170 per quintal now.  • Record foodgrain production of 257 million tonnes last year, supported by massive increase in MSP to farmers. It is more than thrice of foodgrain production 45 years back.  • Government subsidises farm loans considerably. Crop loans upto Rs. 3 lakh are available at 4% interest. Other farm loans too are available at a subsidised rate of 7%. • Farm credit has