Wednesday, April 2, 2025

Depleted coal stock hits MCCL ops

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Company told to complete new dry process plant by 2015-end

SHILLONG: The Mawmluh Cherra Cements Limited (MCCL) is going through a financial crunch even as the imposition of ban on coal mining by the National Green Tribunal (NGT) has dealt a severe blow to the company.
The Public Undertakings Committee under the Chairmanship of Salseng Marak in its report stated that with the depletion of the stock of coal in July this year, all operations have come to a halt.
The report said that though the Government has allowed transportation of extracted coal, the supply has not yet resumed since the suppliers have not yet complied with the guidelines framed for transportation.
According to the report which was tabled in the Assembly on Friday, though the modalities for procuring  coal from outside the State and the North Eastern coal fields is being considered for the long run, the immediate supply would depend on coal available in the State.
In addition, MCCL has not been in a position to pay electricity dues to MeECL since December 2008 onwards and the pending amount is to the tune of Rs.34.07 crore including delayed payment charges up to November 2012 which was fully cleared on receipt of funds from the Government but thereafter the electricity charges kept accruing and after payment of an amount of Rs.2 crore in May 2014, the outstanding amount as on July 2014 stands at Rs.7.21 crore.
Meanwhile, the MeECL has served disconnection notice due to non-payment of dues by MCCL but it has been kept in abeyance on request.
The MCCL is awaiting commissioning of the new dry process plant for a turn around as estimates show an encouraging scenario within a very short period once the new plant is operational.
The Committee recommended that all out efforts should be made by the company to complete the new plant by the end of this calendar year and to ensure commissioning of the plant by 2015.  The Committee also recommended that ways and means should be found to procure coal for the cement plant to make it operational.
“To ensure smooth and fast functioning of the company, it is strongly recommended that an efficient full-time Managing Director be appointed to oversee the operations of the MCCL and also that the administrative office of the MCCL currently located at Shillong be shifted to the factory site and if necessary then the sales office only should be located at Shillong,” the Committee said.

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