FICCI urges Odisha govt. to operationalise coal blocks

Out of 12 coal blocks auctioned in Odisha, only three mines belonging to public sector companies have been operationalised in past six years, says FICCI Secretary General

Published - July 31, 2021 11:52 am IST - BHUBANESWAR

The Federation of Indian Chambers of Commerce and Industry (FICCI) has pressed for the operationalisation of coal blocks which have been allocated in Odisha since 2015.

Out of 12 coal blocks auctioned in Odisha, only three mines belonging to public sector companies had been operationalised in past six years while mines allocated to private sector companies and other government companies had not been made functional largely due to delay in land acquisition and statutory approvals, said FICCI’s Secretary General Dilip Chenoy.

Mr. Chenoy recently made a representation on behalf of different coal manufacturers and other industries in a letter addressed to Chief Secretary Suresh Chandra Mohapatra.

“Collectively, the production capacity of these coal blocks is 97 million tonne per annum and they will generate revenue of over ₹7,000 crore per annum for the State exchequer, creating over 1 lakh direct and indirect local jobs,” the FICCI General Secretary said.

Seeking Mr. Mohapatra’s intervention in operationalisation of coal blocks, Mr. Chenoy said that COVID-19 had left a reverse effect on the livelihood of the State. The Gross State Domestic Product was estimated to contract by 4.9% due to the impact of the pandemic. However, Odisha fared better with respect to the rest of the country whose overall GDP had contracted at a higher rate of 7.3% in 2020-21.”

The leading industry body exhorted that the economic disruption created due to the pandemic could be mitigated if the coal blocks in Odisha could be expeditiously brought under operations.

Of the 12 coal blocks, Dulunga mines of NTPC Limited, Manoharpur of Odisha Coal and Power Limited (OCPL) and Talabira 2 and 3 of NLC India Limited have been operationalised.

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