Parliament Budget Sessions: YSRCP MP Vemireddy's QueriesTo Union Coal Minister

With the first day of the second part of the Parliament's Budget session beginning on Monday (March 14, 2022), sitting MPs raised several questions in the House on a range of issues, including inflation, coal and rising unemployment etc.

YSRCP MP Vemireddy Prabhakar Reddy had two queries for the  Minister for  Coal and Mines Prahlad Joshi about the drilling being carried out by the Central Mine Planning and Design Institute (CMPDI) in Andhra Pradesh in the last two years. The second query was about the auction of the partially explored coal blocks.

On whether Central Mine Planning and Design Institute (CMPDI) carried out drilling in two coal blocks in Andhra Pradesh during the last two years;

The details of reserves that the CMPDI found in the above two coal blocks; And the details of the quality of coal available in these blocks and whether Government will consider allocating these coal blocks to RINL and other plants in the State.

In a written reply to the query, the Minister stated, that the CMPDIL had carried out detailed drilling in Chintalpaudi Sector A-1 and Somavram East coal blocks of Andhra Pradesh during the last two years.

The quality of the coal in the Chintalpaudi sector A1 block varies from grade G5 to G17 (average grade G12). The quality of Somavaram East varies from G7 to G17 (Avg Grade-G13).

In respect of the two coal blocks of Andhra Pradesh viz. Chintalpaudi sector A1 block and Somavaram East coal block, directions have already been issued to Nominated Authority for allocating them by auction for sale of coal. As such, there is no plan to allocate these two coal blocks to RINL or any other plants in the State.

In the second query on whether Government has now decided to auction even partially explored coal blocks; by when Government is going to allow private participation in coal exploration; and whether Government is planning to invest ₹50,000 crore for infrastructure development in coal mines.

The Coal replied in a written statement the Minister stated that the Mineral Laws (Amendment) Act, 2020 was enacted to amend the Coal Mines (Special Provisions) Act, 2015 [CMSP Act] and the Mines and Minerals (Development and Regulation) Act, 1957 [MMDR Act]. The amendments in CMSP Act and MMDR Act enable allocation of coal blocks for composite prospecting license-cum-mining lease. The methodology for auction of coal and lignite mines / blocks for sale of coal / lignite on revenue sharing basis was issued on 28.05.2020 and modified vide order dated 24.11.2021. The methodology shall be applicable on auction of all fully explored coal blocks/mines (categorised in G-1 exploration stage as per the modified Indian Standard Procedure for Coal Resource estimation, 2017) and partially explored coal blocks/mines (categorised in G-2 or G-3 exploration stage) for sale of coal under the CMSP Act and MMDR Act.

So far, 6 partially explored coal blocks have been successfully auctioned.

However, no such grant was given to the Coal Ministry. However, Coal companies under the Ministry of Coal have taken up infrastructure development for more efficient evacuation of coal. Further, under the sub-scheme "Development of Transportation Infrastructure in Coalfield (DTIC)" under the Central Sector Scheme of "Conservation, Safety and Infrastructural Development in coal/lignite mine, the following fund allocation for five years has been approved by the Government:

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