1. Telangana up in arms against the Naini Tender guidelines issue
2. BRS is demanding CBI probe on the Nani Coal Block Tender Guidelines issue
3. BJP says the centre will respond positively for the CBI probe if the state government recommends
4. Will the Congress government under CM Revanth recommend for the CBI probe?
5. Or will it deviate the issue and try pushing it under the carpet?
6. People in Telangana state in general, employees of the Singareni in particular are upset. They want masterminds behind the alleged irregularities should be brought to book

Union Minister G Kishan Reddy said the Centre is ready to examine a CBI probe into the affairs of Singareni Collieries Company Limited (SCCL) if the Telangana government comes forward with a formal request. He asserted that the Union government is also prepared to take responsibility for running Singareni on profitable lines if the state is willing to hand it over, stressing that the institution needs urgent systemic cleansing to protect its future and the livelihoods dependent on it.

Addressing the media in New Delhi amid the controversy surrounding the Naini coal block in Odisha, Kishan Reddy alleged that Singareni has turned into a political laboratory for both the BRS and the Congress. He said Singareni, which was once running in profits, has slipped into losses due to political interference, corruption and mismanagement. According to him, irregularities that took place during the BRS regime are now surfacing due to disputes over sharing of benefits among ministers, while the present Congress government is continuing the same practices.

The Union Minister pointed out that Singareni is jointly owned by the Centre and the Telangana government, with the state holding 51 percent equity and the Centre 49 percent. He said there is no unilateral authority for the Centre to interfere, as the board consists of seven state-nominated directors and three from the Centre. However, he emphasised that a tripartite agreement involving the Centre, the state and Singareni is necessary to resolve long-pending issues related to governance, tenders and future operations.

Kishan Reddy stated that the Telangana government owes Singareni nearly Rs 47,000 crore in dues and questioned when and how these arrears would be cleared. He said he had written to the previous BRS government on the issue and would again write to the present Congress government. Due to financial stress, he claimed, Singareni is forced to borrow from banks even to pay salaries to its workers, a situation unprecedented among coal mining companies in the country.

Highlighting the historical importance of the company, he said Singareni has a 136-year legacy and has played a vital role in Telangana’s economic development, with operations spread across more than eight districts. He recalled the significant role of Singareni workers during the Telangana statehood movement but lamented that the company has been pushed into crisis after the formation of the state. He accused the BRS regime of allowing the “Kalvakuntla family” to dominate decisions ranging from major tenders to small contracts, thereby damaging the institution.

The Union Minister said the NDA government had rescued Singareni when it was once stuck in debt and referred to the Atal Bihari Vajpayee government’s decision to grant a moratorium on Rs 684 crore of loans, which helped the company return to profitability. However, he alleged that after 2014, Singareni became a hub of corruption and political interference under the BRS, and that the Congress government is now following the same path.

On the Naini coal block in Odisha, Kishan Reddy said the Centre had allotted the block to Singareni in 2015 to ensure quality coal for Telangana’s power needs and had provided all necessary approvals in time. He alleged that while K Chandrashekar Rao was Chief Minister, tenders were invited but withdrawn at the last minute, and that the Congress government has repeated the same pattern by inviting tenders and later cancelling them.

After assuming charge as Coal Minister in 2024 and following the formation of a BJP government in Odisha, he said he personally coordinated with Odisha Chief Minister and Union Minister Dharmendra Pradhan to expedite pending approvals. He said several review meetings were held and, as a result of cooperative federalism, the Odisha government approved the transfer of 643 hectares of forest land to Singareni on July 4, 2024. Despite receiving final clearances, he alleged, the Congress government delayed transparent execution of works, leading to reports of irregularities.

Kishan Reddy took strong objection to the inclusion of a mandatory ‘site visit certificate’ condition in tenders related to coal extraction and transportation, alleging it was inserted at the behest of senior state leaders. He clarified that while site visits are common, they usually require only self-declaration and not certification. He said the condition was misused in Singareni to create avenues for corruption and delay mining operations, and reiterated that a self-declaration is sufficient.

Responding to demands for a CBI probe, Kishan Reddy said critics should first understand that a CBI investigation requires the consent of the state government. He questioned what the BRS did when it was in power despite the Centre having a 49 percent stake in Singareni, and alleged that coal blocks such as Tadicherla were diverted to private players after sidelining Singareni.

The Union Minister said Singareni is under severe strain due to inflated coal prices and poor quality. He noted that G11 grade coal from Singareni is sold at Rs 4,088 per tonne, while the same grade coal from Coal India costs Rs 1,605 per tonne. He attributed this nearly two-and-a-half-fold difference to the financial burden imposed by state governments. He also pointed out that Singareni coal has a quality level of 58 percent compared to Coal India’s 86 percent, which has affected demand.

According to Kishan Reddy, agencies such as NTPC, along with the Andhra Pradesh and Karnataka governments, have expressed reluctance to procure Singareni coal, citing quality and cost issues. He warned that continued corruption and mismanagement could push Singareni’s future into darkness and pose a serious threat to its very existence.

He further alleged that Singareni lands are being encroached upon across districts and mandal headquarters, irrespective of whether the BRS or Congress is in power, with ruling party legislators benefiting from such encroachments. He said several media reports have highlighted these irregularities and reiterated that the Centre would examine a CBI probe if the state formally recommends it.

Kishan Reddy said an emergency board meeting was convened to discuss the unfolding issues and stressed that the matter goes beyond politics, as it directly affects Singareni’s future and thousands of dependent families. He questioned whether the state government would clear the pending dues in phases or in one go and demanded clarity.

He also announced that after the Coal Secretary returns from an overseas visit, a letter would be sent to the Telangana Chief Secretary regarding the irregularities and the need for corrective measures. The Centre, he said, is willing to extend full cooperation and is also considering the formation of a special committee to oversee the tendering process.

Stating that several issues raised by the Centre in board meetings were ignored, Kishan Reddy reiterated the need for a tripartite agreement and broader discussions on future tenders and procedures. He said he has initiated systemic changes since becoming a Union Minister by holding regular review meetings and raising accountability.

Reiterating his stand, Kishan Reddy said if the Telangana government comes forward and entrusts Singareni to the Centre to run it on profitable and transparent lines, the Union government is ready to shoulder that responsibility in the larger interest of the institution and its workforce.