New Delhi: Following the formula of 'perform or perish', the Union Coal Ministry has started tightening the noose around erring companies which despite having a coal block allotment have not started with the production work. Adopting a strict measure, the Coal Ministry has started the cancellation of coal blocks allotment to such companies.

In the past few months, the allotment of 24 coal blocks has been annulled by the ministry, whereas the process to initiate a similar action against others has been started.

Taking a stringent step, the Coal Ministry has served a warning notice to NSL Power and Infratech Limited which has failed to start production in the Merta Road lignite block. This block was allotted for the Nagaur power plant of Rajasthan.

In addition, notices have also been issued to Assam Mineral Development Corporation, Meghalaya Mineral Development Corporation, Tamil Nadu Electricity Board, Orrisa Mining Corporation situated in Mandakini-B coal block and Binani Cement in the Utkal-D coal block. Notice has already been dispatched to Maharashtra State Mineral Development Corporation for failing to start production in the Verora coal block.

Among the companies to lose one coal block each include Kalinga Power Corporation, Talchar Mining Private Limited, Loyd Metals and Engineers Limited, Gruda Clage Limited, Gujarat Mineral Development Corporation, Binani Cement Limited, Murli Industries, Maharashtra State Mining Corporation, Sri Radhe Industries Limited, Sri Baidyanath Ayurveda Bhawan Private Limited.

The allotment of two coal blocks each of National Steel Corporation and Damodar Valley Corporation have been revoked.

The Ministry has also terminated the allotment of three coal blocks of Andhra Pradesh Power Corporation and five coal blocks of NTPC.

(JPN/Bureau)