New Delhi: The government on Friday said it has amended the provisions governing approval for opening coal and lignite mines under the Colliery Control Rules, 2004, in a key effort to enhance ease of doing and to make the coal sector more business-friendly.
The amendment removes procedural redundancies and enables faster operationalisation of mines, while ensuring continued regulatory oversight, Ministry of Coal said in a statement.
“The overall reform strikes a balanced approach by delegating operational decisions to company Boards while retaining regulatory oversight and statutory safeguards. By reducing approval timelines and placing accountability at the highest corporate level, the amendment is expected to enhance efficiency, expedite coal production, and reinforce confidence in India’s coal regulatory framework,” it added.
As per earlier provisions of Rule (9) of the Colliery Control Rules, 2004, a coal lignite mine owner was required to obtain prior permission from the Coal Controller’s Organisation (CCO) for opening a coal mine as well as for opening individual seams or sections of a seam.
Permission of CCO was also required for starting a coal/ lignite mine if a mine was not operational for a period of 180 days or more.
To eliminate procedural redundancies, accelerate coal production, and improve efficiency in the approval process, the requirement of obtaining prior opening permission from the CCO has now been dispensed with through amendment of Rule 9 of the Colliery Control Rules, 2004.
Under the amended provisions, the authority to approve mine/seam opening permission has now been entrusted/vested with the board of concerned coal company, said the ministry.
This reform would streamline the approval process, while ensuring that compliance responsibility remains firmly with the company’s highest decision-making authority.
The reform is expected to reduce up to two months in operationalisation of mine, said the ministry.
(IANS)
