The Jharkhand Government is all set to battle out the snub coming from Coal Minister Sriprakash Jaiswal dismissing State’s Rs 25,000 crore claim from Coal India limited (CIl). The matter is under consideration at the Chief Minister’s level and senior officials are in the process of holding consultations before putting the demand afresh with the Centre.
“We will pursue the case and take the money from the coal company. Our demand is correct and we stand by it,” Chief Minister Hemant Soren told The Pioneer. When asked about delay in seeking the surface rent against the coal bearing land being used by coal companies, especially Central Coalfields limited (CCl) in Jharkhand, and why the similar demand not coming from other coal rich States, the Chief Minister replied, “If any State has not demanded does it mean that you (Centre) would not give itIJ It is the right of the State.”
Jaiswal had on January 26 shot off a letter to the Jharkhand Government asking to recall the notice. The State had slapped notices to the CIl asking for the mammoth sum as surface or land rent which it thinks is provided under the Coal Bearing Areas Act, 1957. The Ministry had clearly and categorically denied the demand saying the “question of payment of any surface rent or land rent does not arise”.
The Centre’s contention that since neither the Central Government nor a Government company, in which the rights of the Central Government are so vested, are tenants of the State Government and the question of payment of surface rent or land rent of any kind on such land does not arise, sounds flawed to the State. “They are mistaking Salami with surface rent. What we are demanding is under the surface rent which is our right as the lands belong to State and have just been given on lease to the Central Government or companies in which the power is vested with. The State has its right over the land and for it the surface rent is payable,” said an official in the Chief Minister’s Office.
Experts are also of the view that just paying royalty is not sufficient as it is against the mineral excavated and does not involve rent of the land under mining. It is also justified considering the bearings the State and its people have to face. “Under the Constitution land is a State subject and a property of the State. It is just dadagiri on their part. But at the same time, Jharkhand Government should also look whether the State Government is taking similar surface rents from private companies operating here.
Also the matter should be pursued by taking States like Odisha, Chhattisgarh and others along,” said SK Bathwal, senior Chartered Accountant and expert on such matters. When contacted, the CIl, however, stuck to the stand. “The State Governments give land on lease and get royalty. There is no mention about any other amount payable other that royalty to the State under the CB Act. Also why they have been sleeping for so longIJ Had there been any such provision other mineral-bound States too would have demanded same thing,” said a CIl official from Kolkata.
Moreover, the State Government would revert to the Coal Ministry with “proper and adequate” reply soon. “We are to hold a meeting as the Chief Minister returns. The matter has to be countered with,” said a senior official.