Lok Sabha Passes Coal Mines Bill Amid Opposition Concerns Over Haste and Discretion
The Lok Sabha on Friday passed the Coal Mines (Special Provisions) Bill, 2014, through a voice vote, with the government assuring that Coal India Ltd. would not be denationalised. Union Minister of State for Coal Piyush Goyal stated that the government is instead strengthening the public sector undertaking.
The Bill aims to facilitate the re-allocation of coal blocks following the Supreme Court's cancellation of 204 coal block allocations earlier this year. Mr. Goyal emphasized the need for urgency, noting that the ordinance route was taken to prevent job losses and ensure power supply continuity.
Opposition parties, including Congress and Trinamool Congress, raised several concerns during the debate. Former Power Minister Jyotiraditya Scindia argued that the Bill missed a 'wonderful opportunity to recast the coal sector.' He called for provisions to reduce the coal deficit, improve mining efficiency, and introduce a differential allocation system with price ceilings and reverse auctions for regulated entities.
Trinamool Congress MP Kalyan Banerjee questioned the absence of measures to strengthen Coal India and its subsidiaries. He took exception to the minister's suggestion that states with mines should not oppose the Bill because they would receive revenue, stating that mines are state property and the government is not offering charity.
BJD MP Tathagata Satpathy criticized the 'belligerence' in pushing the Bill, saying regional parties should not be expected to remain silent just because proceeds would go to state governments. He also flagged the definition of 'end use' in the Bill as 'suspicious,' noting that it allows for 'any other use as specified by the Central government,' which he said leaves a 'huge door' open for discretionary practices.
The Bill replaces an earlier ordinance and is now expected to face further scrutiny in the Rajya Sabha, where the opposition has the numbers to potentially send it to a Select Committee.