Multiple Choice Questions on Consider the following statements Coal sector was nationalized by the Government of India under Indi........... for UPSC Civil Services Examination (General Studies) Preparation

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    Consider the following statements:

    1. Coal sector was nationalized by the Government of India under Indira Gandhi.
    2. Now, coal blocks are allocated on lottery basis.
    3. Till recently, India imported coal to meet the shortages of domestic supply, but now India is self-sufficient in coal production.

    Which of the statements given above is/are correct?

    This questions was previously asked in
    UPSC CSP Previous Year Paper (2019)

    1 only

    Correct Answer

    2 and 3 only

    Incorrect Answer

    3 only

    Incorrect Answer

    1, 2 and 3

    Incorrect Answer
    Explanation:

    The Central Government took a decision to nationalise the private coal mines in two phases, the first with the coking coal mines in 1971-72 and then with the non-coking coal mines in 1973.  Indira Gandhi was the Prime Minister of the country from 1971-1973. Statement 1 is correct.

    To manage and reallocate the cancelled blocks in a transparent and accountable manner, the Coal Mines (Special Provisions) Act, 2015 was enacted. Enabling provisions were made in the above said Act for ‘allocation of coal mines by way of auction and allotment for the sale of coal. Therefore, Statement 2 is not correct.

    India is still one of the largest importer of Coal. Domestic coal has been able to meet only 75% of our annual coal demand. The shortfall in local coal availability is met through imports of around 200 mt. Therefore, statement 3 is incorrect.


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