The Coal Mines (Special Provisions) Act, 2015

The Coal Mines (Special Provisions) Act, 2015

ACT NO. 11 OF 2015

PREAMBLE

An Act to provide for allocation of coal mines and vesting of the right, title and interest in and over the land and mine infrastructure together with mining leases to successful bidders and allottees with a view to ensure continuity in coal mining operations and production of coal, and for promoting optimum utilisation of coal resources consistent with the requirement of the country in national interest and for matters connected therewith or incidental thereto.

WHEREAS the Supreme Court vide judgment dated 25th August, 2014 read with its order dated 24th September, 2014 has cancelled the allocation of coal blocks and issued directions with regard to such coal blocks and the Central Government in pursuance of the said directions has to take immediate action to implement the said order;

AND WHEREAS it is expedient in public interest for the Central Government to take immediate action to allocate coal mines to successful bidders and allottees keeping in view the energy security of the country and to minimise any impact on core sectors such as steel, cement and power utilities, which are
vital for the development of the nation;

AND WHEREAS Parliament is competent to legislate under entry 54 of List I of the Seventh Schedule to the Constitution for regulation of mines and mineral development to the extent to which such regulation and development under the control of Union is declared by Parliament by law to be expedient in the public interest.

ARRANGEMENT OF SECTIONS

CHAPTER I
PRELIMINARY SECTIONS

  1. Short title, extent and commencement.
  2. Declaration as to expediency of Union action.
  3. Definitions.
    CHAPTER II
    AUCTION AND ALLOTMENT
  4. Eligibility to participate in auction and payment of fees.
  5. Allotment of mines to Government companies or corporations.
  6. Central Government to act through nominated authority.
  7. Power to classify certain Schedule I coal mines by Central Government.
  8. Nominated authority to issue vesting order or allotment order.
  9. Priority of disbursal of proceeds.
    CHAPTER III
    TREATMENT OF RIGHTS AND OBLIGATIONS OF PRIOR ALLOTTEES
  10. Utilisation of movable property used in coal mining operations.
  11. Discharge or adoption of third party contracts with prior allottees.
  12. Provisions in relation to secured creditors.
  13. Void alienations and permitted security interests.
  14. Liabilities of prior allottees.
  15. Commissioner of payments to be appointed and his powers.
  16. Valuation of compensation for payment to prior allottee.
    CHAPTER V
    POWERS OF THE CENTRAL GOVERNMENT AFTER THE APPOINTED DATE
  17. Responsibility of Central Government after appointed date.
  18. Central Government to appoint designated custodian.
  19. Powers and functions of designated custodian in respect of Schedule II coal mines.
    CHAPTER V
    CERTAIN ARRANGEMENTS
  20. Power of Central Government to approve certain arrangements.
    CHAPTER VI
    MISCELLANEOUS
  21. Acquisition of land.
  22. Realisation of additional levy.
  23. Penalties for certain offences.
  24. Penalty for failure to comply with directions of Central Government.
  25. Offences by companies.
  26. Cognizance of offences.
  27. Dispute settlement and Bar of Jurisdiction of civil courts.
  28. Protection of action taken in good faith.
  29. Act to have overriding effect.
  30. Amendment of certain Acts contained in Schedule IV.
  31. Power to make rules.
  32. Power to remove difficulties.
  33. Repeal and saving.
    SCHEDULE I.
    SCHEDULE II.
    SCHEDULE III.
    SCHEDULE IV.

The Coal Mines (Special Provisions) Act, 2015