Politics over issue of coal block allocation to state-run miner Singareni hots up in Telangana

Hyderabad: The issue of allocating coal blocks to Singareni Collieries hotted up in Telangana on Friday with Deputy Chief Minister Mallu Bhatti Vikramarka urging the Centre to allot coal blocks to the state-run mining corporation under reservation quota, and the BRS questioning the silence of Chief Minister Revanth Reddy.

The chief minister hit back at the BRS in a post on social media platform X late on Friday.

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Vikramarka, who attended the launch of the 10th round of commercial coal mine auctions here, submitted a memorandum at the event to Union Coal and Mines Minister G Kishan Reddy urging that Singareni be allocated coal blocks in the Godavari catchment area under the reservation quota, without it having to participate in the auction process.

Vikrarmarka requested Kishan Reddy, who is also Telangana BJP president, to discuss the matter with Prime Minister Narendra Modi.

If necessary, the state government is ready to approach the PM collectively with representatives from all parties, he said.

The amended Mines and Minerals (Development and Regulation) Act facilitates the allotment of new coal blocks to Singareni under the reservation system, he said.

The Singareni Collieries Company Limited (SCCL) is a government coal mining company jointly owned by the Government of Telangana and the Government of India on a 51:49 equity basis.

Singareni, with its long history, currently operates 39 coal mines, but without new mine allocations, the existing mines will gradually deplete, he said.

The PSU has requested the coal ministry to allocate four crucial coal blocks that are adjacent to its old mines with available infrastructure. However, a decision was made to auction the four blocks, he said.

"It is regrettable that our governments are not supporting a public sector company," he said, pointing out that Singareni employs thousands of people.

Kishan Reddy said he would look into the issues raised by Vikramarka and also discuss the matter with the PM. The Centre would work in the interest of Singareni, he said.

He also said he would also speak to the Odisha government to see that production begins at the Naini coal block allotted to Singareni earlier. Production has not begun at the block due to various reasons, he said.

"We assure you, in mission mode, we can take up production. (For) Singareni, 15 per cent of production we can get from Naini coal block. (As for) the remaining issues you raised, (since) I also belong to Telangana, I know the importance of Singareni in the state's development. I will discuss with Prime Minister," Kishan Reddy said in response to Vikramarka's concerns.

It is the state governments that are getting the benefit and not the Centre, he added.

Meanwhile, BRS Working President K T Rama Rao hit out at Chief Minister Revanth Reddy, saying that the Congress leader had demanded in 2021 that the Centre stop the auction of coal blocks and transfer four coal blocks to Singareni. "But now as chief minister, to the absolute dismay of the people of Telangana, you have sent your deputy CM to participate and promote the auctions that you & Congress party had opposed vociferously in the past!!," Rama Rao said on X.

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"Can you explain the reasons for this change of heart and compulsions (if any) that may have led to this?," he further said.

Revanth Reddy countered the BRS leader, alleging that two coal blocks of Singareni were "sold off" to two private companies when Rama Rao's father K Chandrasekhar Rao was the chief minister.

The BRS never spoke against it, Revanth Reddy said on X.

Vikramarka attended the event to "not only protest against further privatisation and auction of Singareni blocks" but to demand the return of the blocks sold off to the two private companies, he said.