SCCL should acquire new coal blocks for future: Bhatti

SCCL should acquire new coal blocks for future: Bhatti

Vikramarka renewed his appeal to the Central government to allocate the coal blocks in the Godavari valley coalfields directly to the SCCL, without auction

It is imperative to acquire new coal blocks for Singareni Collieries Company Limited (SCCL) to sustain production, as nearly 22 out of the total 40 mines of the PSU will be closed due to depletion of reserves by 2032-33, Deputy Chief Minister Mallu Bhatti Vikramarka said.

Mr. Vikramarka renewed his appeal to the Central government to allocate the coal blocks in the Godavari valley coalfields directly to the SCCL, without auction.

Speaking to the media in Khammam on Thursday, he said that coal production is likely to come down from the existing 70 million tonnes per annum to 15.28 million tonnes by 2060, if new blocks are not acquired. The situation warrants acquisition of new coal blocks to sustain production 2031-32 to meet the burgeoning demand, he noted.

He alleged that the BRS jeopardised the interests of SCCL by supporting the BJP-led NDA government’s Mines and Minerals (Development and Regulation) Amendment Bill 2015 paving the way for commercial coal block auction. BRS is responsible for blocking direct allocation of coal blocks to SCCL.

The SCCL is the largest public sector undertaking in Telangana and the biggest employer. It is jointly owned by the State government and the Central government on a 51:49 equity basis, Mr. Vikramarka said, adding that the coal mining giant has proven expertise in coal exploration and production.

The Centre is all set to commence the 10th round of auction of blocks located in various parts of the country, including the Sravanapalli block in Mancherial, on June 21.

The Congress government will submit a written representation to Union Minister of Coal and Mines G. Kishan Reddy seeking allocation of Sravanapalli and other coal blocks in Godavari coal fields to the SCCL directly, he said, adding that an all-party delegation will be sent to New Delhi in pursuit of the demand.

Agriculture Minister Tummala Nageswara Rao, and CPI State secretary and Kothagudem MLA K. Sambasiva Rao were present.

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