Deputy CM Bhatti flags surge in SCCL medical invalidation cases; ACB and Vigilance begin probe

Hyderabad: The Telangana State government has initiated a probe by the Anti-Corruption Bureau (ACB) and Vigilance departments into the spike in medical invalidation cases in Singareni Collieries Company Limited (SCCL).

Speaking about the issue in the Telangana Legislative Council on Tuesday, Deputy Chief Minister Mallu Bhatti Vikramarka highlighted concerns over possible misuse of medical invalidation rules and the subsequent financial burden on the public sector enterprise.

What is medical invalidation?

Medical invalidation refers to a government servant being declared unfit for service by a medical board due to permanent incapacitation caused by serious illness or accident. This condition forms the basis for dependent family members to seek compassionate appointments.

13,119 medical invalidation cases

Replying to a question raised by MLC Madhusudhana Chary, the Deputy CM stated that 13,119 medical invalidation cases were recorded between 2014 and 2023.

In contrast, only 3,859 such cases were reported over 14 years from 2000 to 2014, indicating a sharp and unusual rise in recent years.

Govt orders probe, forms committee

Citing concerns over potential misuse, the government said it has initiated investigations through ACB and Vigilance.

Additionally, after reviewing practices followed by Coal India and Western Coalfields, a committee has been constituted comprising the Personnel Advisor (PA), Mining General Manager and a nominated member to scrutinise the process and recommend corrective measures.

Jobs for dependents on humanitarian grounds

While tightening oversight, the government said it will continue a humanitarian approach by employing dependents of medically invalidated workers.

In the past two years, 14 medical board meetings were conducted, resulting in jobs for 1,041 dependents in 2024 and 949 in 2025.

Cost disparity puts pressure on Singareni

The Deputy CM also highlighted the high cost of coal production in Singareni, which stands at Rs 4,088 per tonne.

This is significantly higher compared to Coal India (Rs 1,065 per tonne) and Western Coalfields (Rs 2,169 per tonne), raising concerns about competitiveness and sustainability.

Burden on Genco and consumers

Nearly 30 per cent of Singareni coal is supplied to Telangana Genco. However, higher procurement costs are increasing the cost of power generation.

Officials said that if Genco sources coal from Coal India, the cost per unit of electricity could drop by Rs 2, while sourcing from Western Coalfields could reduce it by Rs 1.25 per unit—ultimately easing the burden on consumers.

Need for rationalisation and reforms

In the backdrop of changing market dynamics and global competition, the government stressed the need for rationalisation in Singareni’s operations while maintaining a humanitarian perspective.

Safeguarding a key public sector enterprise

Describing Singareni as the largest public sector enterprise in Telangana employing thousands, the Deputy Chief Minister Bhatti emphasised the need to balance the interests of both Singareni and Genco.

He said aligning production costs with other coal companies and adopting reforms are crucial to ensure the long-term sustainability of the organisation and protect it for future generations.