India’s rising coal production might be causing an oversupply problem on the demand side but on the flipside it is spelling a bonanza for the government kitty of carbon tax or now re-named “Clean Environment Cess.”
Over the past two years, the government had thrice revised upward the tax on coal to present level of $6/t and the rising coal production would ensure that the government’s kitty swells to around $5-billion during 2016-17, on account of tax collection, beating the total cumulative collections over the last five years.
