The Government on Monday initiated the process of coal mines allocation by inviting proposals from public sector companies/undertaking for 17 coal blocks with around 8,500 million tonnes of reserves.

Of the total 17 coal blocks, the coal ministry has earmarked 14 for power companies and three for mining corporations. Coal mined by mining companies will be further doled out to end-use projects through long-term contracts on the lines of coal linkages.

Announcing the start of the coal block allocation, process, the Coal Ministry said, "In the first round the government proposes to allocate coal blocks to the government companies/undertakings (Central and State) for specific end use (power) and coal mining."

The list of coal blocks on offer includes Deocha-Pachami and Tentuloi coal blocks, which have reserves of around 2,025 million tonnes and 1,234 million tones, respectively.

Other blocks on offer are: Baisi, Banai, Bhalmunda, Kente, Kerwa and Jilga-Barpali in Chhattisgarh; Gowa, Pachwara South and Kalyanpur-Badalpara in Jharkhand; Mahajanwadi in Maharashtra; Gandbahera-Uhhenia block in Madhya Pradesh; and Kundanali-Laburi, Sarapal-Nuapara, Brahamani and Chandrabila in Odisha.

As pet an official statement, applications seeking coal block allotments must be submitted by January 30, 2013.