Trade unions, workers oppose privatisation of coal production in SCCL OC mines

It is worth noting that the SCCL management has already outsourced coal production and transportation operations at the Naini opencast mine in Odisha to private companies. The block began production on April 16 this year.

Kothagudem: Trade unions and SCCL workers are expressing serious concerns over the company’s plans to hand over coal excavation in its opencast mines to private contractors.

It might be noted that the SCCL management has already handed over coal production and transportation in the opencast mine at Naini coal block in Odisha to private firms. Production started in the block on April 16 this year.

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This mine has a potential to extract 340.78 million tonnes of best quality G-10 type coal. If the production in this mine reaches full capacity, 10 million tonnes of coal could be produced annually for 38 years. Naini OC is the largest mine compared to the 17 opencast mines currently operated by Singareni.

In addition to the Naini opencast mine, the company is in the process of starting coal production at Venkateshkhani opencast (VK OC) in Kothagudem in another three months. The mine has about 183 million tonnes of coal reserves and its lifetime is 40 years.

A part of the coal production at VK OC is said to have been handed over to private firms. Similarly Poosapalli OC at Yellandu is expected to become operational in August and the company has been planning to produce coal in partnership with private firms.

SCCL’s recognised trade union AITUC, representational union INTUC, Telnagana Boggu Ghani Karmika Sangham (TBGKS), HMS and others have strongly opposed the company’s reported decision to engage private firms in coal production.

While the company management has been arguing that it is essential to engage private firms in coal production in opencast mines, the trade unions are of the opinion that it could harm the interests of the SCCL workers. Generally private contractors are engaged in the removal of overburden (OB) in opencast mines while coal production is done by the company.

Demanding the company management to withdraw its decision TBGKS has staged protests at all mines in the State and submitted memorandums to general managers. Singareni Collieries Employees Union leader Manda Narsimha Rao alleged that the recognised failed to prevent privatisation of coal production.

Singareni Collieries Workers Union (AITUC) Vasireddy Seetharamaiah and its general secretary K Raj Kumar informed that they would soon launch massive protests against privatisation in SCCL.