Coal and Power Minister Piyush Goyal said the process of auctioning coal is prospected to generate over 100 billion dollars in royalties and auction proceedings for a number of states after realizing that the investors have no concern whatsoever about ordinance route being adopted for coal auction.
“The ordinance carries a weight of law. Any action which is under ordinance has complete authentication and will be protected since it’s done within the legal framework of Act. Therefore, there should be no concerns at all,” Coal and Power Minister PiyushGoyal said.
The government is thought of as holding the view that the compliance was a vital precaution to commence the process of coal block auction for captive mining for avoiding fuel crisis while the Supreme Court passed the verdict.
The minister informed that the auction has already begun and people have started getting themselves enrolled while he still held a lot of meetings with current and potential investors in power and coal sectors.
When asked on the topic of the condition of coal sector in the country, the minister said that coal production has suffered a bit around 1-1.5% CAGR (Compounded Annual Growth Rate) over the past 4-5 years.
“On May 26, 2014, we took helms of government and within a period between June and December the coal production has seen a ladder up by 8.4%. As a matter of fact, between the months of October and November, the coal production saw an uprising of 14% in the last financial year.
He claimed that even the electricity generation in first six months of his government was shot up by an incredible amount of 11%.
The Coal and Power Minister has crucially planned out every detail on this auction and is keen on raising the funds for the states through auctioning out coal.