JOIN USWith the Supreme Court clarifying that auctions are not the only method for disposal of natural resources across sectors, the ball now lies with the government to take a decision on the route to follow auction in allocation of mining licences including coal and iron ore.
Replying to a volley of questions whether the apex court verdict will change the government’s decision/proposal to adopt competitive bidding route to allot coal blocks and other natural resources, telecom minister Kapil Sibal said that the government would take a decision in this regard at the earliest.
“Now the government will take a decision whether to follow the auction route or fix the base price for competitive bidding or adopt any other method for the sale of natural resources”, he said.
Though the government earlier made it clear that spectrum allocation will be through competitive bidding, on coal, the government said it is in the process of adopting bidding route. On other minerals like iron ore, the proposed amendment to the Mines and Mineral Development and Regulation (MMRD) Bill will makes provision for competitive bidding for allotting the blocks.
However, it is yet to be seen, if the government, already embroiled in controversy for not following the auction route in allotting coal blocks, will adopt auction route or not.
However, the minister clarified that the government will go ahead with the auction of 2G spectrum which was cancelled by Apex Court allotted during the then Telecom Minister A Raja period.