cil: CIL authorized to lease unused land to private companies for infra and energy projects

NEW DELHI: The government on Wednesday allowed state-owned coal companies to lease unused plots of land to private individuals because they have proven unsuitable for mining operations or after the extraction of mineable reserves, for infrastructure projects related to the coal and other energy sources, a move first reported by TOI on August 11, 2020.
The move will provide a land bank with environmental permits and peripheral infrastructure, which is expected to boost investment prospects in related areas and lead to job creation, the government said after the policy was approved. by the Cabinet.
The policy will also unlock land for the rehabilitation of displaced people through new projects and respond to a major demand from displaced families who wish to be resettled in their familiar habitat.
State-run Coal India will benefit the most, as it is the largest landowner among coal miners. The policy will boost the prospects of his Rs 5,650 crore plan for setting up solar power projects on his unused land under his net zero plan, first reported by TOI on November 24, 2020.
This unused land can also be considered for the construction of laundries, coal gasification and coal-to-chemicals plants, the government said. Since these parcels are already with CIL, the company’s future relocation cost will decrease.
Coal companies would be free to deploy private capital to set up such joint venture projects without giving up land ownership.
The company owning the land would lease land for a fixed period through a transparent, fair and competitive bidding process with the aim of obtaining optimum value.

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