Cabinet Decisions: India Eases Rules For Coal Mine Auctions, Approves Neelachal Ispat Divestment
Catch all live updates on the decisions taken by the Cabinet headed by PM Modi.
KEY HIGHLIGHTS
Watch | Cabinet Briefing
JSW Steel's Sajjan Jindal Welcomes Commercial Mining Reforms
The measures announced by the Narendra Modi government “will go a long way in reducing coal imports, which is over $15 billion per year”, said Sajjan Jindal.
Continuity of all forest and environment clearances for iron ore mines for a period of two years is another great reform, the JSW Steel Ltd. chairman said in a statement.
This was a long pending reform which will make the Indian steel industry more aggressive and competitive on a global level.Sajjan Jindal, Chairman, JSW Steel
Here are the other highlights from Jindal’s comments:
- At a time when oil prices are very uncertain, the cabinet decisions are path breaking and will help make India self-reliant.
- Viability gap funding for the North-East natural gas pipeline grid is a decision that shows the dedication of this government in encouraging growth in the regions which were deprived of the basic tools needed for development.
Government Approves Ordinance To Amend Law To Ease Auction Of Coal Mines
The government on Wednesday approved an Ordinance to amend a law in order to ease rules for auctioning of coal mines and opening it for steel and power sectors.
The decision taken by the Cabinet Chaired by Prime Minister Narendra Modi will also do away with end-use restrictions of the mining blocks, Coal Minister Pralhad Joshi said.
"The Cabinet has approved promulgation of Mineral Laws (Amendment) Ordinance 2020," the minister said, addressing media after the Cabinet meeting.
The Ordinance will ease rules for auctioning coal mines to open up to all sectors.
The Ordinance to allow auction of 46 iron ore and other mines before March 31, 2020.
Source: PTI
Government Gives Nod For Sale Of Shares Of Six PSUs In Neelachal Ispat
The Cabinet on Wednesday approved a proposal to divest equity shares of six PSUs, including MMTC, in Neelachal Ispat Ltd.
"The Cabinet has approved divestment of some shares of six companies held in Neelachal Ispat," Information and Broadcasting Minister Prakash Javadekar told reporters after the Cabinet meeting here.
The six PSUs are MMTC, National Mineral Development Corporatin, Bharat Heavy Electrical Ltd., Odisha Mining Corporation, Odisha Investment Corporation and MECON, he said.
The minister further said MMTC will sell 49 percent in Neelachal Ispat, while that of Odisha Mining Corporation 20 percent, Odisha Investment Corporation 12 percent, NMDC 10 percent.
Government To Provide Rs 5,559 Crore Viability Gap Funding To Set Up Gas Grid In Northeast
The Cabinet on Wednesday approved a proposal to provide Rs 5,559 crore viability gap funding for building a 1,656 km gas grid in the Northeast region at a cost of Rs 9,256 crore, Oil Minister Dharmendra Pradhan said.
The decision to provide viability gap funding to Indradhanush Gas Grid Ltd. for setting up the North East Natural Gas Pipeline Grid was taken by the Cabinet chaired by Prime Minister Narendra Modi in its meeting.
"Quantum of viability gap funding will be capped at 60 percent of estimated project cost; Gas pipeline would be developed in eight states of north east; this will lead to development of industrial climate in these states and improvement in standard of living of people in the region," the government said.
Neelachal Ispat Nigam Strategic Divestment Approved
The cabinet also approved an in-principle strategic disinvestment of equity shareholding, in Neelachal Ispat Nigam, of:
- Minerals and Metals Trading Corp.
- National Mineral Development Corp.
- MECON (formerly known as Metallurgical & Engineering Consultants)
- BHEL
