India Environment Portal Knowledge for change

About us Contact us
downtoearth-subscribe

Browse by subjects

The failure

  • 14/07/2000

The failure "Nationalisation has completely failed to meet its objectives," says Ashok K Rudra, deputy director general of mines safety in Dhanbad. The government talked about welfare of workers but it failed to do justice to any of its agenda. Today, people die in same way as they did before nationalisation. They are poor, just as they were earlier, and the destruction of forests and land has continued unabated. To add salt to the wounds, the collieries are running huge losses.

The Raniganj Coalfields is expected to register a loss of around Rs 700 crore, according to rcf officials, while bccl is expected to lose around Rs 300-400 crore this year. The level of productivity in underground mining is so poor that in 1995 it was estimated that 78 mines in the Jharia Coalfields, which were incurring a loss of Rs 100 per tonne coal mined. Today, these mines are incurring a loss of Rs 500 per tonne of coal.

On the other hand, coalmines leased to private companies in the area are running more efficiently than the ones run by government agencies. "Before 1971, the big coal companies had been taking all measures to ensure safety in the mines. But frequent accidents in the coalmines even after nationalisation speak of the government's recklessness," says T N Singh. "Half the bccl officials are busy making money, conniving with contractors and suppliers of sand and materials. None of them are bothered about common people."

R K Srivastava, chief general manager, Eastern Coalfields (ecl), says, "Underground mining will practically not be viable as per the present level of technology and performance." Heavy machinery worth several thousand crore rupees, which has mostly been imported, is lying dumped in the stores of mining companies such as bccl and ecl because spare parts are not available. "This is only due to mismanagement," says Runu Sen.

Now the government is gradually planning to privatise coalmines, as in the case of the ecl area. Private companies have started coming in the periphery of the ecl area. The demand for coal would certainly increase as the government has allowed the setting up of five new super thermal power plants.

It is unfortunate that wage increase by the government has not been linked to productivity. In Sodhpur area, only three mines are running in profit. There are too many trade unions which don't want to work. "There is no regional planning, which is of crucial importance. The government has never linked wage increase to productivity," says R K Srivastava. "Once we abandon a coalmine, it is difficult to work in it as it gets drowned. Its recovery and restarting would be extremely difficult. The government's intention is to let the mines be lost," alleges a senior government official, asking not to be named.

The government programme for voluntary retirement scheme (vrs) is also not going to help. The workers who can work would accept the 'golden handshake', go out and work elsewhere. But those who do not want to work will never go out. "Only incapable persons will remain in the organisation. Thus vrs will only kill the coal industry," says Srivastava.

Related Content