SCCL unsure on whether or not to push for nomination or get mines by way of public sale route

The Singareni Collieries Firm Restricted (SCCL), which fears dealing with the inevitable problem of shedding key mining areas that will result in decline in output and affect its efficiency, might undertake a extra aggressive method to maintain output.

With no new mining blocks underneath its bag for nearly 9 years and manufacturing declining from the present three main mining areas of the 11 it has, the Telangana based mostly coal miner is underneath stress. SCCL has been knocking at doorways of the Central Authorities to think about allocating contemporary mines to it within the area as an alternative of providing them to personal gamers, who’ve received it by way of the public sale rounds.

Requested what’s stopping SCCL from collaborating within the auctions, an official supply mentioned “Nothing. However the monetary would possibly of the non-public gamers turns into a deterrent.”

Couple of days again SCCL met with the most important nationwide commerce unions to apprise them of the scenario and search their help. The Unions have been unanimous of their view that they are going to help the administration in any strategic determination taken by them to boost manufacturing and maintain the expansion prospects of the corporate.

“If motion shouldn’t be taken now then by 2040 the output of SCCL will likely be nearly half of its present manufacturing of 70 MT,” an official mentioned. The State Authorities owns 51 per cent stake within the entity and remaining 49 per cent is held by the Union Authorities. SCCL presently has 39 mines — 17 opencast and 22 underground mines in six districts of Telangana —  in 11 mining areas.

In actual fact, in June when the tenth spherical of Coal mine auctions was launched by the Union Ministry of Coal in Hyderabad, the State Deputy Chief Minister, who additionally holds the vitality portfolio, Mallu Bhatti Vikramarka, had raised the difficulty with the Coal Ministry high group.

Moreover, not all non-public miners have been profitable within the areas allotted to them. High quality examples are the 2 mines allotted to personal miners: Sattupalli and Koyagudem. Non-public gamers have been to not succeed, in response to these in know. Now, Sravanapalli mine has been put up for public sale.

Although the brand new native authorities of Telangana has given its nod to participate in public sale, SCCL has not taken any determination. SCCL has achieved 83 per cent of its goal for August 2024 (August goal 4.54 MT Achieved 3.76 MT). For the total monetary 12 months, the goal is 26.39 MT goal as on at present it has achieved 24.70 MT, that’s 93.6 per cent.