BRS leader K.T. Rama Rao has accused the Telangana government of tender mismanagement at the state-owned Singareni Collieries Company Limited (SCCL). He alleges that irregularities amount to ₹10,000 crore and has called for an independent inquiry into mining contracts. The development raises questions about the company’s governance, worker bonus payments, and coal production levels in the state.
K.T. Rama Rao, working president of the Bharat Rashtra Samithi (BRS), has raised concerns regarding financial practices at Singareni Collieries Company Limited (SCCL). In a public statement, he alleged that the state-owned coal miner has witnessed financial irregularities amounting to approximately ₹10,000 crore under the current administration. SCCL, which operates as a joint venture between the Telangana government and the Central government, is a primary supplier of coal for power plants in the region.
The allegations center on the tender processes for mining operations, specifically mentioning the Naini coal block, along with contracts for open-cast mining and the procurement of industrial machinery. KTR stated that these tender processes have been subject to manipulation, leading to financial mismanagement within the company’s operational transactions. He has formally requested an independent investigation, suggesting that a central agency or a judge should review the firm's financial accounts covering the 2023-25 period.
Beyond financial claims, the former minister cited a significant decline in coal production. He alleged that annual production levels have dropped from 70 million tonnes to 58 million tonnes. This decline, if accurate, is a critical monitorable for the regional power sector, as any disruption in supply can impact the operational stability of thermal power utilities that rely heavily on SCCL for fuel security.
The governance concerns also extend to the company’s workforce and benefit structures. KTR criticized the management for a reduction in profit-sharing disbursements, noting that the payout percentage decreased from 16% to 12% in recent years. He linked these administrative and financial issues to broader liquidity constraints, claiming that a substantial amount in pending dues is currently hindering the company's ability to maintain efficient mining operations.
Because Singareni Collieries is a vital entity for state energy infrastructure, governance issues at the firm are often viewed as a matter of concern for public sector transparency. While the state government has not yet provided a detailed public response to these specific allegations, stakeholders and power sector analysts are expected to track whether these claims trigger a formal regulatory review or impact the company's future tendering processes. The primary monitorables for interested parties will be the potential for a formal investigation, any official response from the company management, and the stability of coal production outputs in the coming quarters.