SHC issues notices on plea seeking data of Thar Coal spending on area’s uplift

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MITHI: The Sindh High Court’s Mirpurkhas bench has issued notices to the Sindh government, coal regulators and mining companies on a constitutional petition seeking transparent accounting and use of revenues generated by Thar coal projects for the development of Tharparkar.

The court has fixed Nov 19 for the hearing and sought comprehensive reports from all respondents named in the petition, filed under Article 199 of the Constitution by Advocate Kanji Mal Meghwar, general secretary of the Mirpurkhas High Court Bar Association.

The respondents include the Sindh chief secretary; the secretaries of the energy, finance, and planning and development departments; the managing director of the Thar Coal and Energy Board; the director general of coal mines development; the Tharparkar deputy commissioner; Sindh Engro Coal Mining Company; Sino-Sindh Resources Private Limited; and the Thar Foundation.

The petition seeks disclosure of the total revenue generated from commercial coal extraction and details of how much has been spent on the development and welfare of people in the coal-bearing district.

It states that although coal mining and power generation in Thar have expanded considerably, there is no adequate, publicly accessible information on coal production, royalty assessment, actual payments, outstanding dues or the use of the revenue.

The petitioner has asked the court to direct the government respondents to submit a company- and block-wise statement for the preceding 10 years, or any other period the court considers appropriate.

The proposed statement would cover the quantity of coal extracted, its pit-mouth value, royalty payable and paid, outstanding royalty, development cess, other statutory charges, penalties and arrears, and details of how the revenue was used.

According to the petition, the prescribed royalty on coal is 7.5 per cent of its pit-mouth value, subject to a minimum payment of Rs375 per tonne.

It seeks an independent audit of royalty and development cess payments made by the coal mining companies and asks that the findings be placed before the court.

The petition also seeks directions for the formulation of a comprehensive Thar Coal Benefit and Devel­opment Policy to ensure that a fair and identifiable share of coal revenue is spent on the development of Tharparkar, particularly its affected and coal-bearing communities.

The proposed policy should cover education, healthcare, drinking water, roads, vocational training and employment, it says.

Besides royalty use, the petition raises the issue of jobs for local residents. It seeks complete employment data from the mining and power companies, including the number of permanent, contractual, skilled, unskilled, technical and managerial workers employed by them and their contractors.

It also calls for disclosure of the number and percentage of employees from Tharparkar and from the villages directly affected by coal mining.

The petitioner has asked for a transparent local-employment policy, public advertisement of vacancies, a local employment register and vocational and technical training programmes for Thari youth.

Citing Sections 14 and 16 of the Sindh Coal Act, 2012, the petition states that the law gives preference to local people and residents of Sindh in recruitment and obliges coal-title holders to pay royalty on coal extracted or exploited.

Published in Dawn, October 27th, 2026

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