Coal min slaps 5 more companies with show-cause notices for coal block delays

The coal ministry's zeal to attach a cost to the slow pace of development of many captive coal assets in the country continues. The ministry has issued seven more show-cause notices, preliminary to other punitive measures, to various developers, over the period October 4-8, 2010. Purportedly, these five companies-- both, public and private-- have failed to expend any serious efforts to execute their mining projects in a time-bound manner, as per ministry stipulations. 

• These firms, along with the respective coal blocks, are:
•  --Jharkhand State Mineral Development Corporation (JSMDC) for Latehar, Sugia closed mine blocks and Rauta close mine and Burakhap small patch.
•  --Chhattisgarh State Electricity Board (CSEB) for Parsa block.
•  --Tenughat Vidyut Nigam & Damodar Valley Corporation (DVC) for Gondulpara block.
•  --Shree Baidyanath Ayurved Limited for Bhandak West coal block.
•  --Mahanadi Coalfield Limited, JSW Steel, Jindal Stainless Steels, Syam DRI for Utkal-A block.
• These companies will now have to furnish suitable explanations as to why the undue delay in development of their coal blocks should not be held as a violation of the terms and conditions of the allotment of the respective assets.
• In the event of the companies` failure to provide expositions, suitably justifying their inability to develop the blocks, within a period of 30 days, starting from the date of the issue of the show-cause notice, the ministry will be entitled to de-allocate any or all of these blocks.