Efforts Will be Made to Ease Fuel Crisis at Power Plants: Coal Ministry

New Delhi: With the Supreme Court clearing the air with regard to coal blocks, the Coal Ministry has said it will make efforts to ensure that the fuel is made available for electricity generation and the crisis at power plants is eased.

Coal stock position at thermal power plants is critical as more than half of the generating stations have less than a week's fuel stock.

"The government is relieved that the Supreme Court has cleared the air in regard to cancellation of 218 coal blocks.... The government will move in the right earnest in this behalf and will attempt to ensure the coal is made available for production of power so that the power crisis in the country is eased," a Coal Ministry document said.

It further said that it is keen to move forward in the matter of allocating the coal blocks which stand reverted to the government.

"The government appreciates the gesture of the court in granting six months' time to the allottees as also to the Government to complete the process of fresh allocation. The Government is conscious of its obligations and responsibilities to ensure maximum coal production for the needs of the country," it said.

In a major blow to the corporate sector, the Supreme Court on September 24 quashed allocation of 214 out of 218 coal blocks allotted to various companies since 1993 terming it as "fatally flawed" and allowed the Centre to take over operation of 42 such blocks which are functional.

The apex court has said the beneficiaries of the illegal process "must suffer" the consequences and refused to show sympathy to private companies which submitted that Rs 2.87 lakh crore had been invested in 157 coal blocks and Rs 4 lakh crore in end-use plants.