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The Union Cabinet approved a policy for use of land acquired under the Coal Bearing Areas (Acquisition & Development) Act, 1957 on Wednesday, with the goal of making those tracts of land that have become unsuitable for coal mining economically viable for setting up infrastructure related to the coal and energy sectors.

According to official sources, this will allow non-minable lands to be developed, resulting in more investment and job creation in the coal sector.

Tracts of land that can no longer be mined (de-coaled or unsuitable for mining) will be used to build coal and energy-related infrastructure, according to a policy adopted by the Union Cabinet.

Under the new approved policy, land that is no longer commercially viable for mining purposes and land where no mining activity may take place will be used.

The state-owned Coal India Limited and its subsidiaries would continue to possess these properties, and only leasing for the above-mentioned objectives would be permitted under the new policy.

Official sources claimed that government coal entities are permitted to use private capital in joint ventures to build coal and energy-related infrastructure.

On such lands, infrastructure connected to the development of coal washeries, coal handling plants, railway sidings, coal gasification plants, and thermal and renewable energy projects is permitted.