The government today rejected the CAG report estimating 1.86 lakh crore rupees gain to private firms in allocation of coal blocks.

Coal Minister Sriprakash Jaiswal said in New Delhi that the policy adopted to allocate coal blocks was not faulty. There could not be a more transparent policy for allocation of coal blocks.

Speaking to media Jaiswal said his ministry was not in agreement with all aspects of the CAG report. He added the assessment done by the auditor was based on only a few aspects of coal allocation and the governement is not in agreement with the CAG calculation in its entirety.

The minister said the private parties were involved

in the development of coal blocks as the state-run firm Coal

India was not able to meet the growing fuel needs of thecountry.