**Policy Summary: Allocation of Coal Blocks to Singareni Collieries Company Limited (SCCL)**
This document summarizes the Indian Ministry of Coal's response to Lok Sabha Unstarred Question No. 1714, addressed on July 30, 2025, regarding the allocation of coal blocks to Singareni Collieries Company Limited (SCCL).
The Ministry confirms that it received a request, dated July 4, 2024, from the Chief Minister of Telangana to allocate Koyagudem Block III, Sathupalli Block III, Sravanapalli Block, PK OC II Dip Side Block, and other blocks to SCCL under section 11A17A2 of the Mines and Minerals Development and Regulation (MMDR) Act, 1957.
The Ministry acknowledges that the previously auctioned Koyagudem Block III and Sathupalli Block III remain non-operational due to the failure of the original private allottees. However, as of the date of the response, there is no active proposal to reallocate these specific blocks to SCCL.
The Chief Minister of Telangana communicated that SCCL committed to offering a revenue share 0.5% higher than that offered by previous bidders.
The Ministry states that current policy mandates that all coal blocks are offered for allocation through a transparent and fair auction process for the sale of coal. SCCL is eligible to participate in these regularly conducted auctions.
Key Entities Referenced
Singareni Collieries Company Limited: A coal mining company, abbreviated as SCCL, to which the allocation of coal blocks is being requested.
Telangana: A state in India that has requested the allocation of coal blocks to SCCL and where future power demand needs to be met.
Koyagudem Block III: A specific coal block requested for allocation to SCCL, previously auctioned but non-operational.
Sathupalli Block III: A specific coal block requested for allocation to SCCL, previously auctioned but non-operational.
Sravanapalli Block: A specific coal block requested for allocation to SCCL.
PK OC II Dip Side Block: A specific coal block requested for allocation to SCCL.
Mines and Minerals Development and Regulation Act, 1957: A legal act, abbreviated as MMDR Act, under which the allocation of coal blocks to Singareni Collieries Company Limited is requested.
G. Kishan Reddy: The Minister of Coal and Mines who provided the answer to the Lok Sabha question.
GOVERNMENT OF INDIA
MINISTRY OF COAL
LOK SABHA
UNSTARRED QUESTION NO. 1714
TO BE ANSWERED ON 30.07.2025
Allocation of Coal Blocks to SCCL
1714. Dr. Kadiyam Kavya:
Will the Minister of COAL be pleased to state:
(a) whether the Government has received a request from Telangana to allocate Koyagudem
Block III, Sathupalli Block III, Sravanapalli Block, PK OC II Dip Side Block and other blocks
to Singareni Collieries Company Limited (SCCL) under section 11A/17A(2) of the Mines and
Minerals Development and Regulation (MMDR) Act, 1957 and if so, the details thereof;
(b) whether the previously auctioned Koyagudem and Sathupalli blocks remain non-
operational due to failure by private allottees and if so, whether the Government is considering
reallocation to SCCL;
(c) whether SCCL has committed to offering higher revenue share than earlier bidders for these
blocks and if so, the details thereof; and
(d) whether the Government would ensure allocation of sufficient coal reserves to SCCL to
maintain production capacity and meet future power demand in Telangana?
ANSWER
MINISTER OF COAL AND MINES
(SHRI G. KISHAN REDDY)
(a) Yes, Madam. A request dated 04.07.2024 was received from Hon’ble Chief Minister of
Telangana regarding allocation of Koyagudem Block III, Sathupalli Block III, Sravanapalli
Block, PK OC II Dip Side Block and other blocks to Singareni Collieries Company Limited
(SCCL) under section 11A/17A(2) of the Mines and Minerals Development and Regulation
(MMDR) Act, 1957
(b) Yes, Madam. The previously auctioned Koyagudem Block III and Sathupalli Block III
remain non-operational due to failure by private allottees. Currently, there is no proposal to
reallocate these coal blocks to SCCL.
(c) Yes, Madam. It was communicated by Hon'ble Chief Minister of Telangana that SCCL has
committed to pay 0.5% more than the revenue share offered by the other firms.
(d) As per the existing policy for allocation of coal blocks, all the coal blocks are now being
offered for allocation by transparent and fair auction process for sale of coal. SCCL may also
participate in the auctions of coal blocks regularly being conducted by the Ministry of Coal.
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