Coal News We love to talk!
State-owned Coal India Limited is in talks with power companies along the western and eastern coasts to discontinue the use of imported coal “We are meeting the coastal power companies to shift to coal produced by CIL. Some of them have already started that,” director (marketing) of CIL S N Prasad told a programme organised by Bharat Chamber of Commerce here today. He said that these power companies were of the opinion that imported coal was more expensive than domestically produced coal. “They are willing to shift to local coal as it will reduce the cost of generation,” he said. For this, these firms would have to enter into a long-term agreement with CIL, Prasad said.
Regarding growth of coal production during the current fiscal, he said that it would come down to two to 2.25 per cent as compared to nine per cent registered in the fiscal 2015-16. Prasad said that production had been hampered to some extent due to problems in the Talcher mines due to R&R problems. In the last fiscal, CIL production at absolute terms was 536 million tonnes.
Regarding coal supply to power plants, he said that CIL has a stock 100 million tonnes at pithead. “Coal will be available to the power companies on demand. The power plants are having a coal stock of 10 to 15 days,” Prasad said.
Pointing out that CIL still has to address quality issues, the official said that if the buyer agreed for third party validation for which it would have to bear 50 per cent of the additional cost, then it would be done by appointed agencies after which it would be certified by the Coal Controller’s Office.
Out of the 517-odd million tonnes covered under the fuel supply agreement (FSA) with the power sector, 400 million tonnes had been already validated and certified, he said. This scheme of validation would also be extended to the non-regulated sector (like cement) as well and then to e-auction consumers, he said.
- Govt rethinks CIL, ONGC stake sale as share prices slide Read more
- India gets powerful boost, electricity PLF recovers from August lows Read more
- NTPC commissions 500 MW Mouda power plant in Maharashtra Read more
- NTPC's Gajamara project on backburner on coal unavailability Read more
- Capitals civic body to opt for solar power Read more
- Montek for coal sector privatization Read more
- RE-Invest 2015 principal sponsors NTPC, Coal India far behind solar-power targets Read more
- WTO ruling on solar power: China supports India's stand Read more
- Coal India production jumps 8.8% to 321-mt in April-November Read more
- Pradhan Mantri Ujjwala Yojana: 60% of PMUY beneficiaries bought 4 LPG refills, says Dharmendra Pradhan Read more