Centre considering higher royalty on coal to states

A study group set up by the ministry of coal is considering a proposal to revise upward royalty rates on coal and lignite paid to states.

The group was set up following demand by major coal producing states such as Jharkhand, Orissa, Chattisgarh and Madhya Pradesh to fix royalty rates for coal on ad-valorem basis.

The study group has already collected views of all stakeholders both through questionnaires as well as direct meetings.

The group is currently analysing various suggestions received in this regard. The government will notify the new royalty rates after examining the recommendations of the study group. minister of coal Sriprakash Jaiswal informed the Lok Sabha in a written reply.

Meanwhile, he said, the standing committee on safety in coalmines under his chairmanship reviews mines safety standards every year.

The safety standards were last reviewed on 23 December 2010 and various suggestions have been received for improving coalmine safety standards, he said.