Naveen urges Centre to revise royalty on coal

09 January 2017

The state government on Thursday urged the Centre to increase the royalty on coal which is pending since May 2015.

Chief minister Naveen Patnaik, who met Union coal minister Piyush Goyal in New Delhi, said royalty on coal was last revised in May 2013. The rate of royalty, which is 14 per cent at present, is supposed to be revised in every three years, said an official statement.

Stating that the coal bearing states face the adverse effects of coal mining such as displacement of people, environment pollution and reduction in forest area, Naveen also demanded to share 60 per cent of total amount collected under the National Clean Energy Fund (NCCF) among the coal bearing state.

The chief minister demanded to sanction 75 per cent of funds for pump storage hydroelectric projects from the NCCF. He said the hydroelectric power plants above 25MW including pump storage plants may be considered as renewable energy projects.

During the hour-long discussion, Naveen asked the Centre to expedite allocation of suitable coal block in favour of Odisha Thermal Power Corporation Limited (OTPCL) in lieu of Tentuloi coal block. The state government argued that exploration of coal from Tentuloi block is commercially not viable.

As the Centre is yet to begin the bidding process for the 4000 MW ultra-mega power project (UMPP) proposed at Bedabahal in Sundargarh district, Naveen requests the Centre to finalize the bidding documents and start the tender process. The state government has almost completed the land acquisition process for the project.

Among others, Naveen also requested the Union minister to consider selection of beneficiaries under Deen Dayal Upadhyaya Gram Jyoti Yojana (DDUGJY) according to the Socio Economic Caste Census (SECC) Data, 2011 to cover more families belong to the below poverty line category.

Briefing the reporters after the meeting, Goyal said assured the state government to initiate accordingly to solve different issues.

Source – TOI