Guidelines on disposal of coal during development phase

In order to ensure timely completion of end use project, the Government has decided to allow early development of associated captive coal mining block so that by the time the end use project is ready in stages the coal mine could have reached full capacity coal production to meet the coal requirement of the end use plant. Since the mine has to be developed to its full capacity over a period of time ,coal is produced during the development period.Government has allowed transfer of surplus coal extracted from the captive mine during the development periods to the local Coal India subsidiary company to avoid the hazards of storing of coal for long periods which leads to auto combustion and the adverse impact on economy.In order to ensure that such transfer does not turn into a trade by a company, a committee under the chairmanship of the Additional Secretary (Coal) has been constituted to determine the price at which coal will be transferred from captive mine to the local Coal India subsidiary.The allocatee of the captive block facing such situation can avail of this facility by making application to the Secretary (Coal), Ministry of Coal, Shastri Bhawan,New Delhi The application should comprise the followings :

i) A formal request to avail this dispensation with requisite undertaking by the representative of the company;

ii) A detailed project report clearly showing date-wise schedule of the implementation of the end use project,stage -wise with all major milestones;

iii) A detailed schedule of development of coal mine (as per Mining Plan);

iv) An undertaking on stamp paper of Rs 10 duly authenticated by a Notary Public in the format available in Annexure -V (to be put on website).