**Policy Summary: Coal Sales by Singareni Collieries Company Limited (SCCL)**
This document summarizes the Indian Ministry of Coal's policy framework governing coal sales by Singareni Collieries Company Limited (SCCL) to both public and private sector entities. The Ministry of Coal aims to foster overall development of the coal industry, greater transparency in coal allocation, ease of doing business and competitive trade environment. The policy framework is periodically amended to align with evolving market needs.
SCCL adheres to the following policy guidelines issued by the Ministry of Coal:
1. **SHAKTI Policy (22.05.2017, amended 25.03.2019 & 08.11.2023):** Governs allocation of coal linkages to the Power Sector. Superseded by Revised SHAKTI Policy, 2025 for fresh coal linkages.
2. **Policy for Auction of linkages of Non-Regulated Sector (NRS) (15.02.2016, amended 01.06.2020):** Manages coal linkages to the Non-Regulated Sector (NRS) through auctions.
3. **New Coal Distribution Policy (NCDP) (18.10.2007, amended 26.07.2013, 04.09.2013, 27.09.2016 & 11.04.2022):** Addresses pre-SHAKTI and pre-NRS linkage allocations, e-auctions, and coal allocation to Micro, Small, and Medium Enterprises (MSMEs).
4. **Bridge Linkage Policy (08.02.2016):** Provides short-term coal linkages to Central and State Public Sector Undertakings.
These policies promote transparency in coal allocation and availability, leading to increased business activity, employment generation, and revenue collection (royalties and taxes), thereby benefiting all states including Telangana. All fresh coal linkages to the Power Sector by SCCL shall be under the Revised SHAKTI Policy, 2025.
Key Entities Referenced
Singareni Collieries Company Limited SCCL: A coal mining company in India that sells coal to public and private sectors.
Telangana State: A state in India that benefits from coal industry activities through increased business activity, employment, royalty and other taxes collections.
SHAKTI Policy: Policy for allocation of coal linkages to the Power Sector, originally dated 22.05.2017, amended on 25.03.2019 and 08.11.2023.
Non-Regulated Sector NRS: A sector that receives coal linkages through auction, according to the policy dated 15.02.2016 and amended on 01.06.2020.
New Coal Distribution Policy: Policy dated 18.10.2007, amended on 26.07.2013, 04.09.2013, 27.09.2016 and 11.04.2022, governing Pre-SHAKTI and Pre-NRS Linkage Auction Policy era linkages, e-auctions, and allocation of coal to Micro, Small and Medium Enterprises MSMEs.
Micro, Small and Medium Enterprises MSMEs: Beneficiaries of coal allocation under the New Coal Distribution Policy.
Bridge Linkage Policy: Policy dated 08.02.2016 for short-term coal linkage to Central and State Public Sector Undertakings.
Revised SHAKTI Policy, 2025: Supersedes the provisions of the SHAKTI Policy, 2017 as amended and governs all fresh coal linkages to the Power Sector by SCCL.
GOVERNMENT OF INDIA
MINISTRY OF COAL
LOK SABHA
UNSTARRED QUESTION NO. 509
TO BE ANSWERED ON 23.07.2025
Coal Selling by Singareni Collieries
509. Dr. Kadiyam Kavya:
Will the Minister of COAL be pleased to state:
(a) the details of policy on selling coal by Singareni Collieries to Public and Private Sectors;
and
(b) the measures taken by the Government to ensure transparency along with the benefits for
Telangana State?
ANSWER
MINISTER OF COAL AND MINES
(SHRI G. KISHAN REDDY)
(a) & (b) Ministry of Coal with an objective for overall development of coal industry, greater
transparency in coal allocation, ease of doing business as well as to foster competitive and fair-
trade environment, has framed various policies followed by timely amendments in order to
keep them in synchronization and alignment with changing needs of the market. These polices
encompass sale by coal PSU’s to both public and private players and have ensured transparency
in allocation and availability of coal. This in turn has resulted in increased business activity,
employment generation, royalty and other taxes collections which consequently have benefited
all the States including the State of Telangana.
The following policy/guidelines issued by Ministry of Coal are also being followed by the
Singareni Collieries Company Limited (SCCL) for selling of coal to various category of
industries:-
i. SHAKTI Policy dated 22.05.2017 for allocation of coal linkages to the Power Sector
(as amended on 25.03.2019 and 08.11.2023).
ii. Policy for Auction of linkages of Non-Regulated Sector (NRS) dated 15.02.2016 (as
amended on 01.06.2020) for coal linkages to NRS.
iii. New Coal Distribution Policy dated 18.10.2007 (as amended on 26.07.2013,
04.09.2013, 27.09.2016 and 11.04.2022) for Pre-SHAKTI and Pre-NRS Linkage
Auction Policy era linkages as well as for e-auctions and allocation of coal to Micro,
Small and Medium Enterprises (MSMEs).
iv. Bridge Linkage Policy dated 08.02.2016 for short-term coal linkage to Central and State
Public Sector Undertakings.
With the Revised SHAKTI Policy, 2025, the provisions of the SHAKTI Policy, 2017 (as
amended) have been superseded and all the fresh coal linkages to the Power Sector by SCCL
shall be under the Revised SHAKTI Policy, 2025.
****