Singareni rules out privatisation of underground coal mines

Metro India News | Hyderabad

The Singareni Collieries Company Limited ( SCCL) has clarified that the reports claiming that Singareni’s underground coal mines are being privatised are completely false. In a statement on Wednesday, the SCCL said there is currently no proposal under consideration by the company to privatise Singareni’s underground mines.

As a responsible public sector undertaking with extensive experience in the mining sector, Singareni is currently producing coal through 21 underground mines and 17 opencast mines. The company stated that it has been continuously contributing to the country’s energy security and industrial development by supplying coal to Telangana as well as Tamil Nadu, Andhra Pradesh, Karnataka, Maharashtra and other states.

The management stated that although Singareni’s underground mines are operating at a financial loss, they are being continued while making every effort to minimise losses, keeping in view employment generation and job security in the Telangana region.

Instead of closing or privatising the underground mines, the company is taking necessary measures to increase their production capacity and reduce operating costs, with the objective of making as many mines as possible financially viable, the statement said.