Industry demands easier norms for coal blocks
Potential bidders have sought flexible norms for mining commercial coal blocks. These include suggestions such as 50% lesser payment and more lenient requirement of minimum production. While the draft legislation provides for minimum 70% production on an average over a three-year period & yearly minimum production has to be 50%; interested miners want this to be changed to 60% average production in a five-year period and no yearly production stipulations.
B K Bhatia, joint secretary general at Federation of Indian Mineral Industries (FIMI), stated, “Since blocks are being offered for commercial coal sale, miners should have the flexibility to produce according to varying market conditions, and competition dynamics”.