Ruling out immediate scrapping of 142 coal block allocations,as demanded by the Opposition,the government on Monday countered that de-allocation would have to be done through a fair process that was underway through the inter-ministerial group,and appealed to them to allow Parliament to function normally.
The demand for cancellation of all 142 coal blocks allocated after 2004 is not founded on sound logic. It cannot be done through diktat or arbitrary orders. There is a procedure for it and that procedure is underway, Finance Minister P Chidambaram,who also heads the GoM on media,told reporters here on Monday.
He also lambasted the BJP for seeking the resignation of the Prime Minister on the issue,terming it outrageous,while adding that its demand for a judicial inquiry is a little belated because the CBI has already initiated probe into the allocations.
Chidambarams briefing was part of the counter offensive planned by the Congress leadership to neutralise the Opposition campaign against the government. Ruling party managers indicated that in the next few days senior ministers and party leaders would be hosting similar counter campaigns outside Delhi.
Explaining the governments position,Chidambaram maintained that the IMG was already in the process of framing guidelines for de-allocation of those coal blocks in which allottees had failed to comply with contractual obligations. He said that the IMG had been asked to speed up the process and was likely to give its recommendations by September 15.
Therefore,it is my fervent request to the Opposition to start the debate in Parliament. All of us are ready to begin the debate. It is only through a face-to-face debate that clarity will emerge, he said.
Chidambaram pointed out that CBI has already inquired into the allocation of iron ore mines in BJP-ruled Karnataka.
He also made it clear that the IMG would look into all allocations made since 1993,the period from when existing policy for coal block allocations was enforced. I dont understand why the cutoff should be 2004. If the policy is flawed,it is flawed since 1993, he said. Chidambaram conceded that it would be a setback if the allocations were cancelled since the purpose of the policy was to ensure coal supply to captive power and steel plants to meet the countrys energy needs.
Giving details about the status of coal block allocations,he said that 30 coal blocks were in production since 1993,and another 17 were likely to come into production soon. As many as 58 of the coal blocks allocated since 1993 are in no-go areas or wildlife corridor areas,who would have to procure Environment and Forests Ministry clearances before mining. In 32 coal block allocations seven prior to 2004,the allottees have been cautioned,while in 52 cases show cause notices have been served.
These 32 blocks have been cautioned by the ministry. But opportunity is to be given to the party to present their sides before deciding whether the allocations of coal blocks are to be cancelled or not. It cannot be done through a diktat in an arbitrary order, he said.
The FM refrained from making any direct attack on CAG by saying thousands of words have already been spoken and millions written. He denied any parallel between the coal block allocation issue and 2G spectrum case saying there are crucial differentialities between the two while maintaining that both these policies were initiated during the NDA rule.