The Lok Sabha has passed the Coal Mines (Special Provisions) Bill, 2014 by voice vote. The Bill seeks to replace the Ordinance, promulgated in October this year. Our correspondent reports the Bill intends to ensure continuity in coal mining operations and production of coal for promoting optimum utilisation of coal resources.

The Bill will pave the way for fresh auction of 204 coal blocks which were de-allocated by the Supreme Court in September. The new law will also encourage transparency as allocation will be made through e-auction. The government has also allayed apprehensions of some political parties that the legislation will lead to privatisation of the coal sector.

Replying to the debate on the Bill, Coal Minister Piyush Goyal said, the government companies will be allotted the coal blocks on the basis of reserve price while in case of private companies it will be done on the basis of e-auction. The Minister clarified that the revenue generated from the e- auction will directly go to the states where the mines are located and the benefit will be passed on to the consumers.

Our correspondent adds, states like Jharkhand, Odisha, West Bengal and Chhattisgarh will be benefited the most from the e-auction. The interests of the power consumers have been well taken care of and there would be no increase in power bills.