Govt to invite international players for roll out of commercial coal mining auction plan by Dec OBC launches repo rate linked retail, MSE loans

NEW DELHI: In a bid to liberalise the coal sector, the government is planning to invite global players for the roll out of auction plan for commercial mining by December this year, Union Minister Pralhad Joshi said on Thursday.

The maiden move aimed at cutting coal exports is set to end the monopoly of domestic giant Coal India that accounts for over 80 per cent of the India's dryfuel output.

"Hundred per cent commercial mining is approved. By December or so we are planning to roll it out," Coal, Mines and and Parliamentary Affairs Minister Joshi told reporters on the sidelines of the National Geoscience Award 2018.

He said that the government will invite global players for this, as 100 per cent FDI in coal will lead to more investors in coal mining operations with better technology.

"We are inviting global players. There is already 100 per cent FDI. More investors will come... We are hoping to get better technology. Whatever the shortcomings we have in this sector as far as mining coal is concerned that (commercial mining) will be a boost to address it. 100 per cent commercial mining is approved," Joshi said.

Coal is the most important and abundant fossil fuel in India. It accounts for 55 per cent of the country's energy needs and the government is trying to curb imports.

The country's coal imports increased by 28.7 per cent to 24.14 million tonnes in June as against 18.75 million tonnes in the corresponding month of the previous fiscal.

Total imports of thermal coal rose to 56.23 million tonnes during the quarter as compared with the year-ago period.

The country's coal imports swelled by about 13 per cent to 235.2 MT during the year-ended March 31, 2019.

Coal India along with the PSU Singareni Collieries Company Limited (SCCL) are the only companies that till now were allowed to mine and sell coal.

Coal India is the the single largest coal producer in the world, operating through 82 mining areas with seven wholly owned coal producing subsidiaries and a mine planning and consultancy company, it accounts for about 600 million tonnes (MT) annual production.

As per the Coal Ministry, commercial primary energy consumption in India has grown by about 700 per cent in the last four decades but the current per capita commercial primary energy consumption in India is about 350 kgoe/year which is well below that of developed countries. GURUGRAM: Oriental Bank of Commence has launched new variant of Retail and Micro & Small Enterprise Loan products linked to Reserve Bank of India's repo rate.

The new loan products will directly link interest rate to an external benchmark, and thereby build a direct link to ensure fair and transparent transmission of the monetary policy rate immediately to the customers.

With the new variant, repo rate linked Home Loans will be available at interest rate of 8.35 per cent onwards and loans for MSE borrowers will be available from 8.65 per cent onwards.

The new products will be available to borrowers from October 1 onwards.