Jindal and Balco bids for coal mines rejected

Speculation of cartlisation during auction process

GN Staff | March 21, 2015


#coal auction   #jindal steel  

The government has rejected bids for four of 33 coal mines put up for auction in the past two months.
Those whose bids have been rejected are Jindal Steel and Power Ltd (JSPL) and Balco, amid speculation of cartelisation during the auction of coal blocks.

Out of the nine blocks, which were examined by the coal ministry for low bids that were termed as “outliers”, the government has accepted five.
“Bids for Gare Palma IV/1, IV/2, IV/3 and Tara coal blocks not accepted,” coal secretary Anil Swarup tweeted.

Talking to Governance Now earlier, coal secretary Swarup had said, “There are nine cases where bids are being re-examined. No one has questioned the process as such. When bids came to us we found that there were certain 'outliers'. There were some bids outside the trend. And we want to understand the reason for that.”

The government can now auction these blocks again, give them back to Coal India or give them to the states.
Jindal Power had emerged as successful bidder for Gare IV/2, Gare Palma IV/3 and Tara Coal blocks while Bharat Aluminium Company(Balco) had emerged as successful bidder for Gare Palma IV/1 coal block.

However, bids for five blocks have been accepted, Swarup tweeted.

Swarup had earlier insisted that the government wasn’t looking at cartelisation aspect at the moment.

There had been reports that some bidders could have indulged in cartelisation to keep the prices low for the concerned mines.
“In the schedule II, we were looking at four mines and in schedule III we are looking at five mines...Prima facie we found that it requires a re-examination, so it has been re-examined that is about all,” Swarup had earlier said.

The coal blocks which did not figure in the list of successful bidders of schedule III mines (ready to produce) were Brinda and Sasai mine (one bid was invited for both the mines), Meral mine, Dumri mine, Tara mine and Mandla South mine.

Comments

 

Other News

Railways suffered over Rs 33,000 crore loss on passenger service: CAG

  The Railways was unable to meet its operational cost of passenger and other coaching services. During 2014-15, there was a loss of Rs 33,821.70 crore on passenger and other coaching services. The freight services earned a profit of Rs 38,312.59 crore which indicated that 88.28 percent

“Return land to tribals after mining is over”

Seasoned BJP parliamentarian Nand Kumar Sai, who took charge as the chairperson of the National Commission for Scheduled Tribes (NCST) on February 28, has his work cut out for him. Archana Mishra caught up with Sai, 71, on his first day in office where he

Should there be automatic termination as member of parliament if that person takes oath as minister/chief minister in a state?

Should there be automatic termination as member of parliament if that person takes oath as minister/chief minister in a state?

Ganga, Modi and people’s unwavering faith

When the truth was a few steps away from Modi’s gaze In November 2014, prime minister Narendra Modi made his first visit to his constituency Varanasi and launched a massive cleanliness drive at Asi ghat, which was covered in mud and silt. When locals sa

Schooling improved in India, shows HDI

India has slipped one spot in the Human Development Index 2016. India’s HDI value for 2015 is 0.624 — which put the country in the medium human development category - positioning it at 131 out of 188 countries and territories.   Between 1990 and 2015,

IIFCL gives Rs 3.5 crore for cancer treatment

An appeal was made to PSUs to contribute funds under their CSR Scheme towards Health Minister’s Cancer Patient Fund-CSR for treatment of poor cancer patients.    India Infrastructure Finance Company Limited (IIFCL) contributed an amount of Rs 7.5 crore in 2015-16.

Video

जानिए क्या है ओबीसी आयोग

Current Issue

Opinion

Facebook    Twitter    Google Plus    Linkedin    Subscribe Newsletter

Twitter