Telangana Pushes for Exclusive SCCL Rights in Godavari Valley

Telangana Deputy Chief Minister and Finance Minister Mallu Bhatti Vikramarka has urged the Central Government to allocate all coal blocks in the Godavari Valley directly to the Singareni Collieries Company Limited (SCCL) without auctions, arguing that the state-owned miner should be given exclusive rights to safeguard Telangana's energy security and industrial growth.

Responding to recent remarks by Union Coal Minister G. Kishan Reddy , Bhatti accused the Centre of creating a misleading impression by presenting the Tadicherla-II coal block as a fresh allocation to SCCL. He clarified that the block had already been allotted to the company on September 16, 2013 , during the UPA government's tenure, and that the latest approval merely grants the long-pending mining lease , which is required to begin commercial coal extraction.

"The Centre has not allotted any new coal block to SCCL. It has only completed an administrative process linked to a decision taken more than a decade ago," Bhatti said, rejecting claims that the latest clearance represented a fresh allocation.

The Deputy Chief Minister alleged that the Union Government had delayed granting the mining lease for over 10 years , preventing SCCL from commencing operations at Tadicherla-II. According to him, the prolonged delay deprived the company of potential revenue worth thousands of crores of rupees while also affecting its production expansion plans.

Bhatti said the Telangana Government had consistently pursued the issue after the Congress came to power in the state. He noted that he had personally met Union Coal Ministers on several occasions seeking early approval for the mining lease, while the state government had also submitted multiple representations to the Ministry of Coal requesting expedited clearances.

Highlighting the legal and social dimensions of the project, Bhatti pointed out that the original allocation order recognised the presence of tribal lands within the Tadicherla-II block. Since the area falls under a tribal region, he argued, mining operations should be carried out only through a public sector undertaking , making SCCL the appropriate operator rather than private companies.

Calling on Kishan Reddy to demonstrate genuine commitment towards strengthening SCCL, Bhatti demanded that all remaining coal blocks in the Godavari Valley be allotted directly to the company without competitive bidding. He said both the Telangana Government and SCCL have repeatedly submitted proposals to the Centre seeking the allocation of several coal blocks in the region, particularly those located in tribal areas.

The demand comes amid continued debates over the Centre's auction-based coal allocation policy , under which commercial coal blocks are generally awarded through competitive bidding. Bhatti maintained that government-owned enterprises such as SCCL should receive priority in strategically important and tribal-dominated coal-bearing regions to protect public interest and ensure long-term energy security.

Describing SCCL as one of Telangana's most important public sector enterprises, Bhatti said the company provides employment to thousands of workers while playing a crucial role in power generation , industrial development , and the state's economy. He urged the Centre to grant SCCL long-term rights over the Godavari Valley's remaining coal reserves, saying a stronger Singareni would not only secure future coal production but also accelerate Telangana's economic growth .