The Union Cabinet has approved the policy to convert mined land into economically viable areas.
With a view to make land unsuitable for coal mining economically viable for setting up infrastructure related to coal and energy sectors, the Union Cabinet on Wednesday approved the use of land acquired under Coal Bearing Areas (Acquisition and Development). approved a policy. ) Act, 1957.
Official sources said it would unlock non-minable land for development and boost investment and job creation in the coal sector.
As per the policy approved by the Union Cabinet, such stretches of land which can no longer be mined (de-coal or unfit for mining) will be used for development of coal and energy related infrastructure.
The land which is no longer economically viable for mining purposes and the land where no further mining activity can take place will be used under the newly approved policy.
State-owned Coal India Limited and its subsidiaries will continue to own these lands and, under the new policy, will be allowed to lease land only for the above purposes.
However, state-owned coal entities are allowed to infuse private funds in case of joint ventures for setting up infrastructure related to the coal and power sector, official sources said.
Establishment of coal washeries, coal handling plants and infrastructure related to construction of railway sidings, coal gasification plants as well as thermal and renewable energy projects are permitted on such lands.