In its fourth tranche of stimulus under Atma Nirbhar Bharat Abhiyan, the government has announced a slew of reforms to bring in investments in India. Among them is the commercialisation of coal.
Finance Minister Nirmala Sitharaman said the government would end its monopoly in coal mining by allowing private companies. Commercial mining will be on a revenue-sharing mechanism instead of the regime of fixed rupee/tonne. Nearly 50 blocks will be up for bidding, and the government will invest Rs 50,000 crore for building evacuation infrastructure.
With regards to non-coals, the finance minister said 500 mineral blocks will be auctioned and there will be no distinction between captive and non-captive mines. Besides, the government will also introduce a joint auction of bauxite and coal blocks to enhance the competitiveness of the aluminium industry.