The Coal Ministry has issued show-cause notice to eight firms including Hindalco Industries and Mahanadi Coalfields for delays in commencing production from mines allocated to them.

In the show casue notices, the Ministry has asked that why should not the delay in the development of the coal blocks be treated as violation of terms and conditions of allocation and as such the blocks de-allocated.

The ministry further said that if the companies fail to give reasons for the delays, appropriate action would be taken for deallocation.

The Ministry has also sought explanation from the five firms including JSW Steel Ltd and Bhushan Power and Steel Ltd in connection with the slow progress in the development of coal blocks allocated to them.