- The Coal Mines (Conservation And Development) Amendment Bill, 2012 was introduced in the Lok Sabha on November 22, 2012 by the Minister of Coal, Sri Prakash Jaiswal. The Bill seeks to amend the Coal Mines (Conservation and Development) Act, 1974.
- The Act provides for the conservation of coal and development of mines. Besides this, the Act provides for imposition of excise duty and customs duty.
- According to the Statement of Objects and Reasons the Bill increases the maximum excise duty that can be levied on coal. A part of the excise duty funds the implementation of a master plan that is with regard to dealing with fires, subsidence and rehabilitation in the Jharia and Raniganj coalfields. The increase in the excise duty is in order to bridge the gap in funding the implementation of this master plan.
- Under the Act, the central government has the power to levy and collect excise duty on all coal raised and dispatched and on all coke manufactured and dispatched. Different rates of duty may be levied on different grades or description of coal or coke. As per the Act, this excise duty should not exceed Rs 10 per tonne. The Bill amends the amount of excise duty that can be imposed at a maximum of Rs 50 per tonne.
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