The much awaited Comptroller and Auditor General’s (CAG) report on allocation of coal blocks, power and GMR-run Delhi Airport were tabled in the Rajya Sabha today.
We observed from sources that the observations made by CAG have been thoroughly examined by Coal, Power and Law Ministries.
On coal block allocation
Highlighting that coal block allocation is a bigger scam than 2G, the CAG stated that presumptive losses to the government on coal block allocations stands at Rs 1.86 lakh crore for 17.40 billion tonne of coal.
This works out to works out to Rs 10.70 crore per million tonne. The coal blocks were allocated between 2004 and 2009.
On Ultra Mega Power Project (UMPP)
Meanwhile, the CAG on power has accused the government of favoritism and benefiting companies like Tata and Reliance Power.
The bidding process is said to be vitiated by allowing Reliance Power to use excess coal from three blocks allocated to Sasan project, it added. Reliance Power Finance is said to have gained Rs 29,003 crore in the Sasan UMPP.
Blaming the Power Ministry for granting additional block for Sasan UMPP, CAG has asked the government to review third block allocated to Sasan UMPP.
Further, it has questioned role of the then Civil Aviation minister, Praful Patel for favoring GMR that received undue benefits worth Rs 3,400 crore.
It has slammed the levy of development fee on passengers at Delhi Airport (DIAL), saying it vitiated sanctity of bidding process.