Highlights of FM’speech on Structural reforms in coal, defence production, aviation and more
Highlights of FM’speech on Structural reforms in coal, defence production, aviation and more
1.FM elaborated that states are being ranked on investment attractiveness to compete for new investments, adding that incentive schemes for the promotion of new champion sectors will be launched in sectors such as solar PV manufacturing and advanced cell battery storage.
2.As many as 3,376 industrial parts/estates/SEZs in 5 lakh hectares have been mapped on Industrial Information System (IIS). All industrial parks will be ranked in 2020-21, she said.
Commericial mining of coal by Private sector, ending govt monopoly
1.Most importantly, the FM announced commercial mining of coal by the private sector, ending government monopoly on the sector.
2. Commercial mining will be done on revenue sharing mechanism instead of the regime of fixed rupee/tonne. Nearly 50 blocks will be offered for bidding.
3. FM said this is being done to reduce import of substitutable coal and increase self-reliance in coal production. Also, the government will invest Rs 50,000 crore for building evacuation infrastructure.
4. Coal gasification and liquefication will be incentivised through rebate in revenue sharing, she said adding coal bed methane (CBM) production would also be encouraged.
Major reforms in mining of minerals
1.FM announced major reforms in the mining of minerals through a seamless composite exploration-cum-production regime.
2. 500 blocks of minerals will be auctioned in a composite exploration-cum-mining-cum-production regime.
3. Also, a joint auction of bauxite and coal blocks would be done to enhance the aluminium industry’s competitiveness. This will help the aluminium industry reduce electricity costs.
4. Distinction between captive and non-captive mines will be removed to allow the transfer of mining leases and sale of surplus unused minerals, leading to better efficiency and production.
Source : (PIB Release ID: 1624465)
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