Hike royalty rates on coal, Chhattisgarh CM tells Centre


Raipur: Chhattisgarh Chief Minister Bhupesh Baghel on Friday demanded that the Centre increase the royalty rates levied on coal from 14 per cent to 16 per cent.

In a virtual meeting with Union Coal and Mines Minister Pralhad Joshi, CM Baghel also reiterated his demand to release at the earliest Chhattisgarh’s share of additional levy of Rs 4169.86 crore collected from coal block allottees, state government officials said.

In the meeting, the CM strongly presented his stand on various issues pertaining to the interests of mineral-rich Chhattisgarh. Baghel cited that royalty rates of coal have not been revised after 2014, which has caused revenue loss to the state. He requested the Union minister to increase the rate of royalty from 14 per cent to 16 per cent, it said.

The Centre needs to look at the matter related to royalty in a holistic manner as coal producing states are bearing the brunt of losses, the release quoted the CM as saying in the meeting.

“When the prices of petrol and diesel can be increased every day, then why royalty on coal can’t be hiked? Chhattisgarh has industries and mines, but it neither gets benefits from the mines nor from the industries. We give our forests and land for mining activities but in return only pollution rises. This policy is discouraging industrialization in the state, he said.

Joshi assured that the issues raised by the Chhattisgarh government would be considered, it said.

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