SC Ruling Allows Mineral States to Seek ₹38K Cr From Coal Major

STATE-OWNED COAL INDIA will have to pay around ₹38,000 crore to mineral-rich states after the Supreme Court granted states the power to tax mineral rights and mineral-bearing lands retrospectively, official sources told FE.

- Arunima Bharadwaj

However, the company is optimistic of recovering almost 80% of the amount through its Fuel Supply Agreements (FSAs).

The impact is basically on two of CIL's subsidiary companies, namely, Mahanadi Coalfields and Central Coalfields, the company's chairman and managing director P M Prasad had earlier said.