Hyderabad: Union Coal and Mines Minister G Kishan Reddy on Friday launched the 10th round of commercial coal mine auctions here. The 10th round of auction includes 67 coal mines, including one in Telangana.
The Telangana government had earlier urged the Centre to allocate the coal blocks near Singareni Collieries to the state-run mining company without auction. Deputy chief minister Mallu Bhatti Vikramarka had approached the Union coals and mines minster with the request, sources said.
The Singareni Collieries Company Ltd. (SCCL) is a public sector undertaking and a joint venture between the Telangana government and the Centre, with equity shares of 51% and 49%, respectively. SCCL’s coal mines are spread across the districts of Adilabad, Karimnagar, Khammam, and Warangal.
However, Vikramarka also participated in the launch of the auction, and the opposition BRS questioned the rationale for putting the blocks on sale instead of allocating them to Telangana’s PSU-Singareni Collieries.
According to an official statement from the ministry of coal, the move will enhance domestic coal production and ensure energy security for the nation.
Coal sector key to achieving Atma Nirbhar Bharat: Kishan
Speaking on the occasion, Kishan Reddy favoured reducing coal imports and increasing coal production. He said 107 coal mines have been successfully auctioned in the previous nine rounds of auction.
An official release earlier said 60 coal blocks would be part of the 10th round of auction. Highlighting the importance of coal in power production, Kishan Reddy described it as “black gold”.
“The vibrant and reform-oriented coal sector is the key to achieving the goals of Atma Nirbhar Bharat,” he said. Since the launch of commercial coal auctions in 2020, the transparent and fair auction process has been well received by the industry and all organizations.
The Ministry of Coal is also undertaking several initiatives such as coal gasification. “In 2024, 997.23 million tons production we achieved. The coal production target for 2024-25 is one billion tons. Of this, 190.38 million tons already we have achieved. Expecting more than 175 million tons from captive commercial mines also,” he added.
Past auctions of Telangana mines
In the past, the Centre attempted to auction four coal mines in the Singareni Collieries—Kalyan Khani Block-6, Koyagudem Block-3, Sathupalli Block-6, and Shravanapalli—under the fourth tranche of the auction, as per the Mines and Minerals (Development and Regulation) Act, 1957.
While earlier auction attempts for the coal blocks in Telangana received no proper response, on Friday, four Shravanapalli blocks were put up for sale through auction.
Opposition BRS hits out at Congress
Meanwhile, KTR criticised the Congress state government for participating in the mine auctions instead of demanding a direct allocation to Singareni.
According to KTR, the state government’s participation in the auction contradicts its previous stance of opposing it and seeking direct allocation from the central government to Singareni. He reminded the public that the present chief minister, then PCC President A Revanth Reddy, had written a letter to the central government asking for the cancellation of the Singareni mines auction and requesting direct allocation to Singareni.
KTR questioned Chief Minister Revanth Reddy’s silence over the central government’s auction of mines in the Singareni area. “With 16 MPs, neighboring state’s Chief Minister Chandrababu Naidu is trying to halt the privatization of the Vizag Steel Plant while safeguarding their state’s interests. In contrast, the 16 elected MPs from Telangana, both from Congress and the BJP, remain silent despite the central government’s attempt to harm the state’s prospects through the mines auction,” he said.
KTR also went on to warn the corporates participating the the auction. “We inform the corporates participating in the Singareni auction. Think before you bid. Again after four and a half years our BRS government will come to power. Then we will block this decision,” KTR said.
(With inputs from agencies)
