The Centre on Tuesday favoured cancellation of coal blocks, which were declared as illegal by the Supreme Court.

"In sum and substance, cancellation of coal block allocation is a natural consequence," the Centre told SC. The Centre further said that the retention of 46 blocks which are in operation or to be operated soon should be considered.

Companies, who were allocated coal blocks, however, pleaded SC not to cancel allocation without hearing them.

The Supreme Court will today decide the fate of 218 coal blocks, whose allocation it had declared "illegal and arbitrary in a previous judgement.

Earlier the government on Monday left it to the Supreme Court to decide the fate of 218 coal blocks allocation held as illegal by it while stating that about 40 blocks are operational and another six are ready to produce 50 million tonnes coal in the current year.