Power Cos Need Not Buy From CIL Alone
Facebook Twitter google+ RSS Feed

Power Cos Need Not Buy From CIL Alone

Friday, 30 November 2012, 04:45 Hrs
cmt right
Comment Right
cmt right
cmt right
Printer Print Email Email

New Delhi: Power companies may secure coal from alternative sources in the absence of sufficient supply of the fuel from state-run Coal India, Parliament was informed.

"As per the new coal distribution policy of ministry of coal, in order to meet the domestic requirement of coal, Coal India may have to import coal as may be required from time to time," power minister Jyotiraditya Scindia said in a written reply in the Lok Sabha.

He added that developers may also obtain fuel from alternative sources in case of any shortage of assured supply of coal from Coal India.

Earlier, the coal ministry had said that Coal India had written letters to power companies seeking their consent for supply of imported coal on cost plus basis under the modified Fuel Supply Agreement (FSA). Cost-plus basis means cost of importing coal by Coal India plus additional charges. Meanwhile, 30 power plants have entered into pacts with CIL, which is likely to enter into pacts with 48 power units.

Power companies waiting to sign the FSA with CIL would have to arrange for 17 percent of coal on their own either through import or e-auction to run their plants at 85 percent plant load factor.

CIL proposes to use MMTC or State Trading Company to import coal.

Source: PTI
Experts on SiliconIndia
Santhosh  K
Sr. Soft. Engg.
Oracle India
Nehal Vyas
Sr. Team Lead
Cyberoam Tech.
Rani Malli
Sr. Director
Sr. Executive
Vijay Balkrishna Konduskar
Business Consultant
Imans Web Tech
Dr L P  Sharma
Technical Director
Reena Khanna
Dellas  Asse
sys-network admin
Computer Station
Write your comment now
Submit Reset