Coal News We love to talk!

NOV 17 2016

Coal Indias decision may help TANGEDCO save Rs. 550 crore

  • Economic Times, ET Bureau / Hyderabad
  • Created: Thu 17th NOV 2016

 

 The Tamil Nadu Generation and Distribution Corporation (TANGEDCO) need not depend on import of coal as the Centre has assured a supply of high-quality indigenous coal to substitute the imported coal being used in thermal power stations in the State.

The assurance from the Coal India Limited (CIL) on providing import-substitution coal comes as a shot in the arm for the power utility. It will enable the corporation to cut down its purchase of imported coal and save Rs. 550 crore a year.

A TANGEDCO official said this move followed the deliberations between the Union and State Ministers to chalk out plans for Tamil Nadu joining the UDAY (Ujwal DISCOM Assurance Yojana) scheme in New Delhi on October 21.

At the meeting, officials raised the issue of inferior coal supply and the proposed supply of additional five million tonnes of indigenous coal to substitute imports, he added. After Tamil Nadu assured the Centre that it would join the UDAY scheme, at a subsequent meeting that TANGEDCO officials had with CIL officials in Kolkata on October 24, the latter agreed to supply an additional five million tonnes from Eastern Coal Fields Limited, in addition to the existing quantity under the Fuel Supply Agreement.

TANGEDCO would be get an additional three million tonnes of Indian coal per annum towards import substitution from the Singareni Collieries Company Ltd. as instructed by the Centre.

The power utility has been assured an additional 3 million tonnes of coal from Eastern Coal Fields

Tags

Delhi Tamil Nadu Tamil Nadu Generation and Distribution Corporation Ltd Coal Coal India Limited Imported Coal Singareni Collieries Company Ltd Import Eastern Coal Fields Fuel Supply Agreement CIL Kolkata Power India

Related News

  • CCEA to consider price pooling of coal again after two weeks  Read more
  • Banks pin hopes on RBI as discom revival plan unclear  Read more
  • Supreme Court gives green signal to Kudankulam nuclear plant, says it is safe  Read more
  • KOR Energy installs 100 KWp grid tied rooftop solar system at Delhi Public School, Varanasi  Read more
  • 10,000 electric cars highlight steep path to India's ambitions  Read more
  • Hydro power may be declared renewable energy  Read more
  • Solar installation to touch 10 Gigawatt as module prices fall further: Mercom  Read more
  • Tamil Nadu to stop using imported coal for power generation, save Rs 400 crore  Read more
  • NTPC to set up solar power plant  Read more
  • Crude oil slump makes Petronet LNG's Qatar contract most expensive gas source  Read more