New Delhi [India], Jan 8 (ANI): The Union Cabinet on Wednesday approved the promulgation of Mineral Laws (Amendment) Ordinance 2020, which provides for the allocation of coal blocks for composite prospecting license-cum-mining lease and removes restrictions on its end-use.
The Ordinance will amend the Mines and Minerals (Development and Regulation) Act 1957 and Coal Mines(Special Provisions) Act, 2015.
It provides for doing away with the requirement of previous approval in cases where the allocation of blocks was made by the central government.
The decision was taken at the Cabinet meeting chaired by Prime Minister Narendra Modi.
Briefing reporters about the Cabinet decision, Coal Minister Pralhad Joshi said that it will open up new areas of growth in coal and mining.
He said demand for coal was growing. Though India was the fourth-largest coal resources in the world, the country imported 235 million tonnes of coal for Rs 1.71 lakh crore last fiscal, Joshi said.
He said Coal India has been allocated enough blocks and it has been given a target to achieve production of one billion tonnes of coal by 2023-24. "All the needed support will be provided to it," he said.
The minister said that the decisions will contribute to the ease of doing business, the democratisation of the sector by opening it to anyone willing to invest.
He said the removal of end-use restriction will allow anyone to participate in coal auction and attract large investment. (ANI)