Coal Minister Sriprakash Jaiswal has informed the Bihar government that the ministry has identified some coals blocks to be allocated to the power producers through tariff-based competitive bidding.
"The Ministry (coal) has identified some coal blocks which are under the process for allocation...and the applications will be invited shortly," Coal Minister Sriprakash Jaiswal informed Bijendra Prasad Yadav, Bihar's Energy and Parliamentary Affairs Minister, in a letter dated December 26, 2013.
The development follows Yadav writing to Jaiswal in October requesting for allocation of captive coal blocks for the proposed Ultra Mega Power Project in Bihar.
"I have got the matter looked into. I have been informed that the setting up of Ultra Mega Power Project comes under the purview of Ministry of Power and they may be approached for the purpose," the letter said.
"Centre shall identify the area containing coal to a company or corporation awarded a power project on the basis of competitive bids for tariff", it added.
"Accordingly, I would request you to advise the concerned government utilities of the state of Bihar for applying for the same, which shall be duly considered as per rules," the letter said.
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