Recently, the government issued letters de-allocating coal blocks of various companies, based on the recommendations of the  Inter Ministerial Group (IMG).  This post discusses the history behind the de-allocations, the parameters the IMG used while examining the progress of various coal blocks and the action that has been taken by the government. The Comptroller and Auditor General (CAG) released a performance audit report on 'Allocation of Coal Blocks and Augmentation of Coal Production' on August 17, 2012.  Some of the key findings of the Report were:

  • The government failed to conduct competitive bids for the allocation of coal blocks.  This resulted in a benefit of  Rs 1.86 lakh crore (approx.) to private allottees.  The government could have tapped some of this financial benefit by expediting the decision on competitive bidding for allocation of coal blocks.
  • The implementation schedule of a number of coal blocks has been delayed by one to ten years.  This schedule relates to the time frame within which the Mining Plan for the block has to be approved, various clearances have to be submitted, land acquired, etc.
  • From 2005, the Ministry of Coal (MoC) required the allottees to provide bank guarantees which would be encashed if they failed to meet the above mentioned milestones.  The CAG observed that there was a delay in introducing the bank guarantee and linking it with milestones.

The IMG on Coal was constituted for the periodic review of the development of coal blocks and end use plants.  The IMG had requested a status paper from the Coal Controller, MoC.  This has been submitted to the IMG but is not available.  The IMG will decide if private allottees have made substantial progress based on certain parameters.  The parameters used by IMG are:  approval of Mining Plan, status of environment and forest clearance, grant of mining lease and progress made in land acquisition. They are also examining the physical status of End Use Plant (EUP), investment made and the expected date of opening of the mine and commissioning of EUP. The IMG has made the following recommendations:

  • The coal blocks of companies that have not made substantial progress should be de-allocated.  Additionally, they have recommended the deduction of bank guarantee in the cases where the private companies have not reached the milestones as per the time line decided upon.  As of November 22, 2012, the IMG has recommended the de-allocation of the coal blocks listed in Table 1 and the deduction of bank guarantees for the coal blocks in Table 2.
  • Since, the system of bank guarantee was only introduced in March 2005, not all coal blocks had submitted a bank guarantee.  Where a bank guarantee has not been provided but there is substantial progress in meeting the milestones, the IMG may require the allottee to submit a bank guarantee.

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Of the coal blocks that the IMG has recommended for de-allocation, until now the government has accepted the de-allocation of the following: Bramhadih block, Gourangdih, New Patrapara, Chinora block, Warora (Southern Part) block, Lalgarh (North) block, Bhaskarpara block, Dahegaon/Makardhokra-IV block, Gondkhari block and Ramanwara North block.  The government has accepted the deduction of bank guarantees for blocks such as Moitra, Jitpur, Bhaskarpara, Durgapur II/Sariya, Dahegaon/Makardhokra-IV, Marki Mangli II, III and IV, Gondhkari, Lohari, Radhikapur East, Bijahan and Nerad Malegaon. The letters issued by the government de-allocating coal blocks and deducting bank guarantees are available here.

For a detailed summary of the CAG Report, click here.

As of May 5, Assam has 43 confirmed cases of COVID-19.  Of these, 32 have been cured, and 1 person has died.  In this blog, we summarise some key decisions taken by the Government of Assam until May 5 for containing the spread of the pandemic in the state.

Movement Restrictions

For containing the spread of COVID-19 in the state, the Government of Assam took the following measures for restricting the movement of people in the state.  On March 19, the Department of Health and Family Welfare issued an order for closure of all museums, libraries, coaching centers among others until March 31.

Lockdown: To further restrict the movement of individuals, in order to contain the spread of the disease, the state government enforced a state-wide lockdown from March 24 to March 31.  The lockdown involved: (i) sealing the state borders, (ii) suspension of public transport services, (iii) closure of all commercial establishments, offices, and factories, and (iv) banning the congregation of more than five people at any public place.   Establishments providing essential goods and services were excluded from the lockdown restrictions.  Limited rituals were allowed in places of worship without any community participation.

This was followed by a nation-wide lockdown enforced by the central government between March 25 and April 14, now extended till May 18.  Starting from May 4, based on the Ministry of Home Affairs guidelines, the state government has allowed certain activities with restrictions in green zones of the state.  Activities such as e-commerce for all commodities, construction activities in urban areas, functioning of government and private offices among others are being allowed in green zones.

Health Measures

The Assam COVID-19 regulations, 2020: On March 18, the government issued the Assam COVID-19 regulations, 2020.   These regulations are valid for one year.  Key features of the regulations are as follows: 

  • All government and private hospitals should have separate corners for the screening of COVID patients.  Further, they should record the travel history of such persons during screening,

  • No hospital can refuse the treatment of suspected/ confirmed COVID-19 cases,

  • People travelled through affected areas must voluntarily report to the authorities, and

  • District administration can take necessary measures to contain the spread of COVID-19, such as (i) sealing a geographical area, (ii) restricting the movement of vehicles and people, and (iii) initiating active and passive surveillance of COVID-19 cases.

The Assam COVID-19 Containment Regulations, 2020: On March 21, the government issued the Assam COVID-19 Containment Regulations, 2020.  These regulations detail the measures to be taken in case of community transmission within a geographical area.  These include enhanced active surveillance, testing of all suspected cases, isolation of cases and home quarantine of contacts, among others. 

Guidelines to Airports:  On March 18, the government issued instructions regarding procedures to be followed at the airports for the screening of passengers.  The guidelines allocate responsibilities such as thermal screening of passengers, counselling, transportation of passengers among others to various teams at the airports.

Medical colleges and Hospitals: On March 23, the Department of Health and Family Welfare directed all medical colleges and district hospitals to set up isolation wards.  On March 27, the Department of Health and Family Welfare released measures to be followed in medical colleges and hospitals.  These include: (i) seven days of training on critical care to all doctors, nurses, final year students of bachelor programs and Postgraduate students, (ii) Principals should set up a core team in every college for managing COVID-19 patients, among others.

Welfare measures

Food distribution: On March 28, the government decided to provide gratuitous relief such as rice, pulses among others to all wage earners, slum dwellers, rickshaw pullers, homeless, and migrant labourers living in municipal towns for seven days.

Minor Forest Produce (MFP): For enhancing the income of tribal farmers, the government revised rates of 10 MFPs such as honey, hill broom and added 26 new MFPs for Minimum support price in the state. 

One-time financial assistance for persons stranded outside India: On March 22, the government announced one-time financial assistance of $2,000 to residents of Assam stranded in foreign countries.  People who went abroad 30 days before the stoppage of international flights (on March 22) and are unable to return will receive this financial assistance.

Administrative measures

  • On March 21, the government constituted the task force at the State level and District level for implementation of various measures for containment of COVID-19 in the state. 

  • On April 2, the government constituted a committee for monitoring and checking of fake news across all forms of media.

  • On April 29, the Department of Finance announced certain austerity measures in the context of the fiscal situation that arose due to COVID-19. These include suspension of MLA area development funds from April to July 2020, reduction in establishment expenditure, and a ban on the purchase of vehicles by the government (except ambulances and for policy duty).

For more information on the spread of COVID-19, and the central and state government response to the pandemic, please see here.