Potential bidders for the next round of coal auctions have expressed concern over the lower number of coal mines being put up for auction in the Eastern part of the country.
At a meeting called by the Coal Ministry of the stakeholders, prospective bidders pointed out that the end-use industries (coal consumers) are in the East, but a majority of the blocks on offer are in the Western part, specifically Maharashtra.
“This is a deterrent and may hamper the viability of the auctions as the coal transport costs will go up significantly for steel, power and other such large industry players that win these far away blocks,” a participant in the meeting called by the Ministry of Coal told BusinessLine.
