Telangana Deputy CM Pushes Centre for Coal Gasification Support and Fresh Block Allocations

Telangana's Deputy Chief Minister Bhatti Vikramarka Mallu held discussions with Union Coal and Mines Minister G. Kishan Reddy in New Delhi on Wednesday, advocating for Central government backing of Singareni Collieries Company Limited's coal gasification strategy and the allocation of new coal blocks.

The conversation between the two leaders encompassed Singareni's strategic roadmap, coal gasification opportunities, fresh coal block assignments, and outstanding matters concerning the Tadicherla Coal Block-II mining lease.

Redirecting Coal for High-Value Applications

Bhatti Vikramarka emphasised that coal resources should be channeled toward value-added industrial sectors rather than confined to traditional electricity generation. He noted that Singareni stands prepared to embrace coal gasification as the Centre escalates its commitment to such projects across the nation.

The Deputy Chief Minister highlighted that Singareni is investigating cutting-edge technologies to optimise coal utilisation. He pointed out that Coal India Limited has already embarked on comparable ventures, demonstrating the viability of such approaches.

According to Bhatti Vikramarka, transitioning to coal gasification would enhance the economic value of coal reserves while simultaneously fostering energy resilience, industrial expansion, and job creation. He requested the Union Minister to furnish technical expertise, regulatory backing, and support in integrating Singareni ventures with Central government schemes.

Addressing Supply Gaps for Southern India

The Deputy Chief Minister underscored Singareni's critical contribution to coal supply and power generation across southern India. Given this responsibility, he advocated for allocating additional coal resources to fulfil projected energy requirements.

Bhatti Vikramarka specifically mentioned Koyyagudem Block-III, situated in the Godavari Valley Coalfields, as essential for Telangana's electricity needs. He noted that the block was previously auctioned but mining operations have not commenced despite four years passing since then. He thus urged the Centre to assign Koyyagudem Block-III to Singareni.

The discussion also addressed complications surrounding Tadicherla Coal Block-II. Bhatti Vikramarka indicated that Singareni has concluded preliminary mining and exploration work for the block and requested expedited processing of the mining lease. He characterised the block as vital for Singareni's long-term growth and the state's energy independence.

Positive Reception and Next Steps

Bhatti Vikramarka appealed for the Centre to issue preliminary clearance under Section 5 of the MMDR Act, 1957, and to fast-track the mining lease authorisation for Tadicherla Coal Block-II.

Kishan Reddy responded favourably to the proposals, pledging that Central authorities would arrange a coordinated meeting involving state officials and Singareni representatives to deliberate on the coal gasification proposals, the Koyyagudem Block-III allocation, and the Tadicherla Coal Block-II mining lease matters.

The meeting was attended by Finance Principal Secretary Sandeep Kumar Sultania, Planning Secretary Dr Gaurav Uppal, SCCL CMD Dr Jyoti Buddha Prakash, Director Gautam Potru, and Director K. Venkateshwarlu.