Rajiv Kakaria, a noted expert on power sector has hailed the apex court's verdict while saying that with this decision the coal resources which were so far hidden by the companies will come out in the market to be utilized in the interest of the nation.
"If it impacts at all then it would be in the long run, because anyways all the blocks that would either be put up for re-sale or it would be bringing out the blocks which were lying dead. I think this is going to further speed up. And I believe that it will bring lot of coal back into the market as the people were just sitting on that and were waiting for the golden opportunity to sell them at higher prices. All that will come into the open market and government process will speed up. I think it is a long term good news for us," said Rajiv Kakaria.
He also added that the verdict will help in transparent sale of the coal blocks to the end users, but not the speculators.
"Now the coal blocks will be available for sale in a transparent manner, where the final end users will come and get it not the speculators. The power sector was doing very well till 2006, but suddenly it put the brakes on, because the people just took the coal blocks and they sat on them. I think it will boost the infrastructure. May be their will be small setbacks, but will help in sorting out the power problem in the country," said Kakaria.
All India Power Engineers Federation (AIPEF), feels that bankers will suffer because of the judgment not the power sector.
V K Gupta, spokesperson for AIPEF said, "The biggest losers in the whole process will be the banks, as the banks have given them some 1000 crores of loans. And the power sectors won't have any negative effect because of this judgment."
While, DH Pai Panandiker, a noted economist has said that the judgment may prove 'damaging judgment for the economy'.
He said, "I think it is a very significant decision, and also a very damaging judgment for the economy. The court has to keep this in mind and ensure that whatever they do, the operations at the mines do not get disturbed."
The most popular citizen journalists' reports on merinews chosen automatically on the basis of views and comments