The Union Government in India has recently declared its plan to introduce a new online single-window clearance portal for the coal sector. This move aims to ease barriers and accelerate clearances at all levels, from environmental to forest consents. The decision to simplify the process is anticipated to enhance the potential of the coal industry, which could become a significant player in helping India achieve its USD 5 trillion economy target by 2025.
Online Single-Window Clearance Portal
The new portal’s objective is to empower speedy clearances without the need to approach multiple authorities. Currently, prospective miners are required to obtain about 19 major approvals before they can commence operations – an often complex and time-consuming process.
Benefits of Streamlined Clearances
The proposed system would allow successful bidders to operationalize coal mines more efficiently. This goes hand in hand with the principle of ‘minimum government and maximum governance’. Moreover, it could positively influence the ease of doing business within the country’s coal sector, attracting extensive investment and creating substantial employment opportunities.
The Future of PARIVESH Mechanism
The future plans for this initiative include merging the PARIVESH mechanism for forest and environment-related clearances into the single-window clearance system. This streamlining process is designed to facilitate the operationalization of coal blocks set to be auctioned in upcoming auctions. PARIVESH, an online web-based application, was initially developed for proponents to submit and monitor proposals for Environment, Forest, Wildlife, and Coastal Regulation Zones (CRZ) Clearances.
Promoting Self-reliance through Recent Initiatives
As part of the Atmanirbhar Abhiyaan initiative, the Union Government has implemented several strategies including: liberalised entry norms, offering coal blocks to private companies on a revenue sharing basis, incentivising coal gasification, and auctioning coal bed methane extraction rights. This strategic shift aims to boost transparency and drive growth in the private sector’s involvement in the coal industry.
Other Key Initiatives
The government has launched several schemes aimed at promoting transparency and efficiency within the coal sector. These include UTTAM (Unlocking Transparency by Third Party Assessment of Mined Coal) for coal quality monitoring, and SHAKTI (Scheme for Harnessing and Allocating Koyala (Coal) Transparently in India) to transparently allocate future coal linkages in the power sector. The initiatives are part of an overarching strategy designed to revitalize the domestic coal industry and place it on a trajectory of robust and sustainable growth.