Ranchi

No fresh coal block lease to Punjab power utility

Santosh Narayan

Talking tough on series of violations made in conducting mining at Pachwara Central coal block located at Pakur district, the State Government has refused to grant fresh lease agreement to Punjab State Power Corporation limited. Following the mass level cancelation of coal blocks on the behest of the Supreme Court, the Punjab's power utility has recently been reallocated the mine that falls under schedule II category possessing 53 coal mines set aside for State-run power utilities.

Mines Department of Jharkhand has taken the decision after report about grave violations taken place over there came out before it. The misconduct had happened when the coal block was in the possession of PANEM Coal Mines, the joint venture company of Punjab's power utility and Eastern Minerals and Trading Agency (EMTA) and was formed for the purpose of the development of the coal mine and production of the fossil fuel for the mineral starved State.

“The Centre has again allotted the mine to Punjab State Power Corporation limited but we have not granted them the lease. There are some dues pending on them along with the amount they have not paid to the State realised in the form of royalty. The amount due on them goes up to `98 crore and we have sought for that before heading forward,” Mines Director SK Negi told The Pioneer on Friday.

Important to mention here that PSPCl, then PSEB, had entered into an agreement with EMTA to form the joint venture company- PANEM Coal Mines for development and operation of Pachwara coal mine in 2001.

later on a coal purchase agreement was signed between the State power utility and PANEM in 2006 for firing Punjab's three coal-fired power generating units located at lehra Mohabbat, Bathinda and Ropar with combined power generation capacity of 2,640 MW. Punjab had been getting supply of about seven million tonne of coal through PANEM Coal Mines from the Pachwara Central.

Following the mass level de-allocation in 2014 and internal probe report submitted by Santhal Pargana's Divisional Commissioner NK Mishra mine operator PANEM found seriously on the wrong side of the set regulations.

“As soon as the matter came to light, the Chief Minister ordered an enquiry headed by the Development Commissioner. Deputy Commissioner, Superintendent of Police, District Mining Officer of Pakur district along with Deputy Director of Mines were its members. We have found serious violations by the PANEM besides their skipping the dues and royalty,” added Negi.

The report reveals that irregularities had been conducted besides revenue fronts related to excessive and unaccounted mining, infringement of forest land, illegal mining and even on rehabilitation and resettlement of the displaced due to mining activities.