The Ministry of Coal has set out the sequence behind the auction of the Tara (Revised) coal block in Chhattisgarh, calling media reports incomplete.
The block was offered in the 7th Tranche in 2023 and pulled out in July 2023 after Chhattisgarh asked that Hasdeo Arand blocks overlapping the Lemru elephant corridor be excluded.
A State Government letter dated 11 December 2025 said Tara lies outside the Lemru Elephant Corridor and could be offered again.
CMPDIL revised the block boundary to remove the corridor's influence zone, after which the block went into the 15th round of commercial coal auctions.
Nine bids were received and the block was auctioned at a revenue share of 37.50 per cent.
Tara coal block offered for commercial coal mine auction.
Block withdrawn after the Government of Chhattisgarh asks that Hasdeo Arand coal blocks be excluded from commercial auctions.
Hasdeo Arand blocks overlapping the Lemru elephant corridor are left out of subsequent tranches.
Chhattisgarh writes that the block lies outside the Lemru Elephant Corridor and may be offered again.
CMPDIL revises the boundary; the block is auctioned at 37.50 per cent revenue share after nine bids.
Ministry of Coal issues a clarification on the sequence of events.
Commercial coal blocks are not sold for an upfront price. Bidders compete on the percentage of the value of coal produced that they will pay the State Government, and the highest percentage wins. The per-tonne amount is worked out using the National Coal Index.
Simple Analogy: The State becomes a royalty-earning landlord rather than a one-time seller.
The parent law for mineral concessions. The Mineral Laws (Amendment) Act, 2020, notified on 13 March 2020, amended it — along with the CMSP Act — to open commercial coal mining to any Indian company without an end-use restriction.
Enacted after the Supreme Court cancelled earlier coal block allocations; it is the statute under which cancelled and fresh blocks are auctioned, including on a revenue share basis.
The provision under which the expanded Lemru area was notified as a Conservation Reserve in October 2020. Conservation reserves are declared on government land adjoining protected areas, with a Conservation Reserve Management Committee.
Coal exploration, mine planning and design consultancy; revised the Tara block's boundary before re-offer
Conducts the auction and allotment of coal mines under the CMSP Act and the MMDR Act
GS Paper 3 > Environment > Conservation, and Infrastructure > Mineral Resources
General Awareness > Environment and Static Geography
What is the main cause of land degradation in Jharkhand and Chhattisgarh?
Answer: Deforestation due to mining
A protected area category under Section 36A of the Wild Life (Protection) Act, 1972, declared on government land usually adjoining a national park or sanctuary.
The percentage of the value of coal produced that a commercial block's winner pays the State Government, computed per tonne using the National Coal Index.
A narrow strip of habitat linking two larger elephant habitats, allowing herds to move between them without entering human settlements.