Moving a step closer towards restructuring Coal India Ltd (CIL), the government on Monday invited expressions of interest (EoI) from consultancy firms/organisations for providing consultancy for restructuring of the public-sector miner.

The main objective behind the idea of restructuring of the miner is to spin off its subsidiaries as independent entities to boost competition, and thereby production.

Announcing the initiation of the process of the appointment of consultants, the coal ministry stated, "Ministry of Coal invites expression of interest (EoI) from the consultancy firms/organisations for taking up the job of providing consultancy for restructuring of Coal India (CIL)."

The mandate for advisors who would be assigned with the task to draw up a plan for the restructuring includes advising the ministry on the efficacy of the current management structure of the miner as well as to determine the disadvantages of a monopolistic situation.

Consultancy firms/organisations have been given a 15-day period to submit their EoIs and three months to put forward the report.

The recommendation to restructure CIL was originally made by the T L Shankar committee appointed on coal sector reforms that submitted its report in 2007. The report had suggested making changes at the board level by making the chairman & managing director (CMD) of CIL the chairman of the boards of all of its subsidiaries. The main objective behind the recommendation was to hold the CIL CMD answerable for the performance of all subsidiaries.

The Shankar committee had also suggested that the government to restructure the miner in the 12th Five Year Plan period (2012-17). The government had accepted the suggestion.