Crack Prelims
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Prelims 2019 · Q48 · Infrastructure & energy

Consider the following statements :

  1. 1.Coal sector was nationalized by the Government of India under Indira Gandhi.
  2. 2.Now, coal blocks are allocated on lottery basis.
  3. 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?

Show answer

Answer: A. Statement 1 is correct: coal mines were nationalised in 1971-73 under Indira Gandhi. Statement 2 is wrong: since 2015 coal blocks are allocated by auction (and allotment to government companies), not by lottery. Statement 3 is wrong: India still imports coal (as of 2019), especially coking coal. So 1 only.

Watch for: After the 2014 coal scam cancellations, students know allocation changed but may not recall it became auctions.

Why the other options are wrong
  • B. Wrong because coal blocks are auctioned, not given by lottery, and India still imports coal.
  • C. Wrong because India is not self-sufficient in coal.
  • D. Wrong because statements 2 and 3 are false.

Source to check: Coking Coal Mines (Nationalisation) Act, 1972 and Coal Mines (Nationalisation) Act, 1973; Coal Mines (Special Provisions) Act, 2015; Ministry of Coal website

Answer from the official UPSC key. Written and fact-checked by AI against the official key. Spotted a mistake? Report it.