Produce more coal or no supply from CIL: Govt warns captive mine owners

Issuing a stern warning to private companies who are captive coal block owners, the ministry of coal said either their said mines should ramp up production or face regulation in coal supply from state-owned Coal India ltd (CIL).

The ministry, which reviewed the coal production of the captive (self-use) coal mines awarded to private companies, observed the production from these mines was below target. The warning comes in the wake of the shortage being faced by the country’s thermal power units.

Of the 43 coal mines awarded to the private companies in the power, steel and metals sector, which are operational now, not a single one is meeting its targeted annual production. These mines were awarded over the last five years.