CIL to discuss modalities for importing coal on Aug 8

Coal India has called a meeting inviting various government officials, including representatives from public enterprises, to discuss modalities for importing coal to meet the needs of fuel-starved power plants.

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"Coal India (CIL) invites government departments or government owned companies or public sector entities in a Pre NIT (Notice Inviting Tender) meeting regarding 'supply of imported coal' to the power plants drawing coal under fuel supply agreements (FSAs)," CIL said in a notice for the
meeting.

The development follows the Coal Ministry issuing another Presidential directive to state-owned CIL on July 17 to enter into FSAs with power plants for a total capacity of 78,000 MW.

The meeting scheduled for August 8 will be held in Kolkata. Last year, the Coal Ministry had issued a Presidential directive for the first time to CIL to sign FSAs with the power producers assuring them of at least 80 percent of the committed coal delivery.

Coal India will supply 65 percent of the requirement from domestic sources and another 15 percent through import. Coal India Limited (CIL) has signed 82 FSAs with power stations with a capacity of 34,793 MW. This includes 16 power stations belonging to NTPC and its Joint Venture companies (JVs).

The coal ministry had said on July 25 that 11 more FSAs are ready to be signed shortly with NTPC or its JVs, while another 23 FSAs with state and private sector entities are in the pipeline.

"These FSAs were part of the 131 FSAs for a capacity of 60,678 MW which CIL was directed to sign in February, 2012. This will substantially increase the power generation during the current and subsequent years," the Ministry had said.

Coal India, the world's biggest producer of coal, had earlier said that it may import as much as 20 million tonnes of the fuel this fiscal to comply with orders to increase supplies to power utilities and avoid paying penalties.