Early development of 54 identified mines is necessary to boost the country's coal production, a Parliamentary panel said today and asked the Coal Ministry to begin allocating mines through the bidding route without any time loss.

"The Committee is constrained to observe that no progress has been made for the development of identified coal blocks for allocation through bidding system," the Parliamentary Standing Committee on Coal and Steel has said in its latest report.

"The early development of identified coal blocks is imperative to boost coal production in the country," it said, adding, "The Committee would like the ministry to go in for allocation of coal blocks through bidding system without any loss of time."

The Coal Ministry has identified 54 mines for allocation. Of these, 16 are earmarked for power sector, 16 for government firms, and 22 for allocation through auction route, it added.

"The detailed drilling in respect of 12 blocks is completed and the geological reserve is available. However, for the remaining 42 blocks Central Mine Planning and Design Institute (CMPDIL) has been asked to prepare a plan for exploration," the report said.

In view of the long time being taken by the ministry in allotment of mines, despite the MMDR Act being passed by Parliament for introduction of system of auction by competitive bidding of blocks, the committee has asked it to "immediately implement the Act with letter and spirit".

The government had notified the rules on auction by competitive bidding in February. CMPDIL has selected Crisil to look into the whole process of competitive bidding, the committee observed.