Centre to introduce commercial mining in the coal sector

Finance Minister Nirmala Sitharaman has recently announced that the Centre will soon introduce commercial mining in the coal sector to end government monopoly. According to the finance minister this would enhance competition, transparency and encourage private sector participation in the coal sector through revenue sharing mechanism instead of fixed rupee per tonne model. The government will invest Rs 50,000 crore for building evacuation infrastructure. The Centre will offer 50 coal blocks soon. The government plans to incentivise Coal gasification and liquefication will be incentivised through rebate in revenue sharing, and coal bed methane (CBM) production would also be encouraged.

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