REGULATION | Cesar Tordesillas, India

India's coal ministry threatens NTPC with coal de-allocation

India's Ministry of Coal has issued a warning to NTPC, India`s largest power generating major, for exhibiting a dawdling performance at its Pakri Barwadih and Talaipalli coal blocks.


These were allocated to it in 2004 and 2006, respectively.

The ministry said that NTPC has been sorely ineffective in achieving significant milestones necessary for the timely completion of both the coal projects. Important milestones such as, the mining lease, forest clearance, EMP and land acquisition for the Talaipalli coal block, remain pending. A similoar situation occurs with the Pakri Barwadih block, wherein, stage II forest clearance and land acquisition are yet to be completed.

The ministry has now directed NTPC to, either, summarily, take all possible steps to produce coal at its captive coal block by the end of this calendar year or be prepared to face punitive action, which might even culminate into termination of the block`s allotment.


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