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No diversion of coal from blocks allocated for UMPPs: SC

The allocations of 12 coal blocks for Ultra Mega Power Projects (UMPP) would be used for it only and no diversion of coal for commercial exploitation would be permitted, the Supreme Court on Monday observed while noting that no challenge was made before it in this regard as ‘competitive bidding’ was held for its allocation.

The apex court also held that the issue was not challenged before it by the petitioners as competitive bidding was held for the ‘lowest tariff’ for power for these UMPPs. ‘By way of footnote, it may be clarified and we do, that no challenge was laid before us in respect of blocks where competitive bidding was held for the lowest tariff for power for Ultra Mega Power Projects (UMPPs),’ a three-judge bench headed by Chief Justice R M Lodha said.
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