The Coal Ministry on Tuesday issued show-cause notices to Aditya Birla Group’s Hindalco, Mahanadi Coalfields and Neyveli lignite (NlC) for not taking enough steps to develop captive coal blocks of much discussed Talabira II and III, which were allocated to the three firms on November 10, 2005.
During a review meeting in January last year, it was found that the steps taken by the firms for the development of the coal blocks were not adequate. On April 26, 2012, the firms were advised to take appropriate steps for the development of the blocks.
After a few months, the Inter Ministerial Group (IMG) conducted its review and got to know that no noticeable steps had been taken by the three companies to develop the blocks. Taking the IMG’s review into consideration, the Coal Ministry has finally issued the show cause notice to the firms.
According to the notice, the firms have to submit their replies before the Ministry within 20 days. If the firms fail to give satisfying answers, action will be taken to de-allocate the blocks for the firms, it added.