Indian Express reported that the government’s effort to make the state run behemoths self sufficient by giving them coal blocks to meet their captive energy needs doesn’t seem to be paying off. When it comes to utilizing their blocks, the PSUs do not seem to be any better than their private counterparts. At least this is what the recent string of show because notices issued to them reveals.
Among the PSUs, Maharatna National Thermal Power Corporation which is entrusted with the task of meeting the energy needs of the country to the best of its ability has emerged as the biggest defaulter having failed to deliver on its blocks. The Maharatna company was allocated 5 blocks: Pakri Barwdih, Chhatribariatu, Kerandari and Talaipalli, Dulunga and Brahman Chichiro Patsimal and Chhatri Bariatu. A high level committee of the ministry which met recently concluded that the power behemoth has been idling on the allocated blocks and decided to recommend de allocation of Kerandari and Dulunga blocks besides show causing the company for the remaining blocks. But NTPC’s other state run counterparts much are not better either. National Aluminium Company Limited could be soon show caused for failing to ensure timely utilization of the Utkal E block.
Similarly, another Maharatna company Steel Authority of India Limited has been asked by the Coal Ministry to explain the status of its Mining Lease on the Tasra coal block in Jharkhand within a month. It emerged during the meeting that SAIL did apply to the Jharkhand government for transferring the ML from Bharat Coking Coal Limited to it, but the state administration made it clear that there was no ML application pending with them. The Navratna Rashtriya Ispat Nigam Limited has been show-caused for failing to develop the Mahal mine. The PSU did request for an alternative mine through the steel ministry but the coal ministry's response was yet to be known. Similarly, the JV of Delhi government and Haryana Power Generation Corp Ltd too have been show caused as a prelude to de allocation for failing to develop the Mara II Mahan block.
The private sector too was lagging behind in developing their blocks. TATA Steel has been show caused for failing to develop the Kotre Basantpur and Panchmo blocks and the Forest Clearance, Mining lease and land acquisition were pending. Similarly, JV of Essar Power and Hindalco has been asked to explain why shouldn't the Mahan block given to them in 2006 be de allocated. Apparently the block fell under the No Go category. Jindal Steel and Power Limited too have been asked to explain the delay on the Ramchandi Promotional block as the company was yet to commence drilling. The Centre has allocated 207 blocks anticipating a production of 350 million tonnes per year but only 26 blocks have commenced production, belying expectations of any substantive gains from them.
(Sourced from www.indianexpress.com)
