Cabinet approves use of mined out land for infrastructure
New Delhi: With the objectives to facilitate utilisation of lands which are mined out or are practically unsuitable for coal mining, the Union Cabinet on Wednesday approved the policy for use of land acquired under the Coal Bearing Areas (Acquisition & Development) Act, 1957. The policy provides for utilisation of such land for the purpose of development and setting up of infrastructure relating to coal and energy. The move is aimed at increasing investment and creating jobs in coal sector. The CBA Act provides for acquisition of coal bearing lands and their vesting in Government Company free from any encumbrance. The approved policy provides clear policy framework for utilisation of land that is no longer suitable or economically viable for coal mining activities and from which coal has been mined out, a Cabinet release stated. The Government coal companies, such as Coal India Ltd. (CIL) and its subsidiaries shall remain owner of these lands acquired under the CBA Act and the policy allows only leasing of the land for the specified purposes given in the policy. Government coal companies can deploy private capital in joint projects for coal and energy related infrastructure development activities. The Government Company which owns the land would lease such land for specific period given under the policy and the entities for leasing shall be selected through a transparent, fair and competitive bid process and mechanism in order to achieve optimal value, the release added. The lands will be considered to set up Coal Washeries, Conveyor Systems, establish Coal Handling Plants, Construct Railway Sidings, to set up or provide for energy related infrastructure. The lands which are mined out or are practically unsuitable for coal mining are prone to unauthorised encroachment and entail avoidable expenditure on security and maintenance. Under the approved policy, establishment of various coal and energy related infrastructure, without transfer of ownership from Government companies and would lead to generation of a large number of direct and indirect employment. This unlocking of non-minable land for other purposes will also help CIL in reducing its cost of operations as it will be able to set up coal related infrastructure and other projects such as solar plant on its own land by adopting different business models in partnership with private sector. UNI
