Green nod before coal mine auction

New Delhi : New Delhi Sep 02 2011:The debate on ‘go’ and ‘no-go’ areas for mining of coal may be brought to a conclusion, as the finance ministry has given an in-principle nod to a new mechanism in which all regulatory clearances are to be obtained by the government before coal blocks are auctioned to state-run or private companies.

If it is accepted as policy, it will come as an immense relief to companies across sectors such as power, steel, ceramics and cement whi­ch have been allocated coal blocks but have not been able to move an inch to develop them, as an intense ecological debate rages.

Preparing a shelf of coal blocks with all clearances obtained beforehand, taking into consideration all environment issues, will echo the manner in which ultra-mega power projects were cleared. The clearances were obtained by Power Finance Corporation before the blocks were auctioned.