The Union Cabinet’s decision on Wednesday to end captive coal mining would be disastrous for the industries concerned including steel, power and aluminum, the Centre of Indian Trade Unions (CITU) said in a statement on Thursday.
Terming the decision ‘retrograde’, it said the decision to promulgate an ordinance to amend two laws concerning mining would remove the restriction of end-use so that foreign and domestic bidders for mine blocks could convert the natural resources into items for trade and export.
The CITU said the decision would also affect the viability of the Coal India Ltd. as 100% FDI in coal mining would be allowed.
“Excuses being made by the government that this decision will reduce coal import is totally untenable and illusory. Rather this is going to expand the grip and control of foreign players with Indian private contractors as their junior partners, on the country’s vital mineral resources, much to the detriment of our national interests,” the statement said.
