Liberalised environment and single window clearance mechanism crucial to attain self-reliance in coal sector: PHD Chamber

No.PR-156 July 6, 2020 New Delhi Liberalised environment and single window clearance mechanism crucial to attain self-reliance in coal sector: PHD Chamber Unlocking coal mining for private sector with liberalised norms is a significant step by the Government to reduce our import dependence, increase self-reliance in coal production and promote availability of coal at market prices, said PHD Chamber of Commerce and Industry in a press statement issued here today. Introduction of seamless composite exploration –cum-mining-cum-production regime for mineral sector along with forming Mineral Index will enhance private investments and ensure better efficiency in mining and production process. These measures will go a long way in achieving Aatma Nirbhar Bharat and push private sector investments in the coming times supported with effective and efficient single window clearance mechanism, said the industry body, PHDCCI. PHD Chamber of Commerce and Industry organised a Webinar on Steel and Mining Sector: Challenges and Way Forward today. Eminent dignitaries from the Government and industry participated and shared their perspective on the sector. The Chief Guest of the Webinar Shri M. Nagaraju, Joint Secretary (MN), Ministry of Coal, Government of India said that most of the coal mines selected for the auction are located in the backward regions of the country. He said that once these blocks are operational and developed, they will generate vast employment opportunities, incentivise small scale business and facilitate overall socio-economic growth of these backward regions. He acknowledged the high response from the bidding firms for 41 coal mines put forward for the auction. He mentioned that the Government is working on various reforms in the coal sector related to bidding, revenue sharing, National Coal Index, coal exchange, single window clearance mechanism, among others. He assured the continuous support and handholding of the industry by the Government to promote ease of doing business. Shri Sanjay Aggarwal, Senior Vice President, PHD Chamber, said that the steel and mining sectors are the backbone of the India’s economic development as they have strong linkages with the other sectors of the economy. He opined that the sectors are expected to witness a major growth in the next few years, given the Government’s reforms and vision such as Make in India Campaign, Smart Cities, Rural Electrification as well as the rise in infrastructure development. He suggested that there is a need to make commercial mine auctions faster and efficient, ensuring provision of hassle free disbursements of loans vis-à-vis enhanced liquidity to steel and mining industry, Single One window facility to give clearance for all the permissions, reduce the cost of doing business, among others. Shri Deepak Pahwa, Chair, Industry Affairs Committee, PHD Chamber said that the steel and mining sectors have an extensive role to play in building India’s production capabilities and fulfilling the vision of our Hon’ble Prime Minister to make India self-reliant. He appreciated the introduction of commercial mining in coal sector on revenue sharing model, seamless composite exploration –cum-mining-cum-production regime for mineral sector, forming of Mineral Index, among others. He suggested that there is a need for greater hand-holding of the steel and mining sector by the government to manoeuvre the sector to cater to the domestic demand, reduce import dependence and as well as increase in exports. Shri Vishwa Nath , Co-Chair, Industry Affairs Committee, PHD Chamber in his vote of thanks appreciated the recent path-breaking reform announcement of the Government on Commercial Mining as part of its stimulus package amid COVID-19. He stated that this will lead to encourage competition and participation of private sector in the coming times. Going ahead, single window clearance facility plays a crucial role in promoting ease of doing business in this segment. Shri Vikram Agarwal, Co-Chair, Industry Affairs Committee, PHD Chamber moderated the question and answer session and appreciated the introduction of commercial mining in coal sector with liberalised norms, allowance of private sector participation in exploration, among others. He said that these measures will support India’s journey towards self-reliant New India. In addition, the Government’s emphasis on coal gasification/ liquefaction and coal bed methane is highly laudable as this will have a significantly lower environment impact and will also assist India in switching to a gas-based economy. While appreciating the Government on increasing coal availability in the country, Shri V R Sharma, Managing Director, Jindal Steel & Power Ltd., suggested that there is a need to reduce the cost of coal in the country, bring down cost of power with introduction of one-country-one tariff policy, working & adopting single table clearance approach; among others, going ahead. He emphasised that the effective implementation of the reforms announced by the Government in last few months is need of the hour for revival of MSMEs and economy as a whole. Ends Media Division PHD Chamber of Commerce and Industry