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No proposal to review coal distribution policy: Govt

19 May 2016

There is no proposal to review and modify the coal allocation policy to ensure supply of coal to the small and medium industrial units in view of the re-allocation of the coal blocks, a government official said.

The medium and small scale industries whose requirement is less than 4,200 tons per annum are required to take coal through agencies nominated by state governments.

Under the New Coal Distribution Policy (NCDP), 2007, the scope of coverage through state nominated agencies was increased from 500 tons per annum to 4,200 tons per annum, the official said.

An aggregate of 8 million tons of coal is earmarked per annum for distribution to medium and small scale industries through the distribution agencies in various states depending on past trends.