The Ministry of Coal aims to issue the Notice Inviting Tender (NIT) documents before the end of the current financial year to begin the process of commercial coal mining auctions.
In a bid to boost production, the Centre decided to allow private companies to mine coal for commercial use in February 2018. The Centre had also planned to begin auctioning coal mines with no end use restrictions by December 2019. But according to officials in the know, a change in law needs to be effected to allow private players sell coal in the open market. After this, coal can be commercially mined and sold in the country by all entities.
“This change would require an approval of the Union Cabinet, followed by an Ordinance or a Bill depending on the urgency and subject to the House being in session,” a top Coal Ministry official said.
