Jun 13, 2012, 08.18 AM IST

Govt to review fuel production tomorrow

The government will review coal production in a meeting tomorrow against the backdrop of Coal India expressing apprehensions over shortfall in supply to power producers.

Source: PTI
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The government will review coal production in a meeting tomorrow against the backdrop of Coal India expressing apprehensions over shortfall in supply to power producers.


"There would be a review meeting on coal production tomorrow," Coal Minister Sriprakash Jaiswal told reporters here.


Coal India, which accounts for over 80% of the domestic coal production, had produced 69 million tonnes (MT) of coal in April-May this year, according to a top Coal Ministry official.


The coal producer, a fortnight back, in a letter to the Coal Ministry had expressed fears of shortfall in supply of fossil fuel to power firms and stated that fuel supply pact clauses being opposed by a few firms were aimed at safeguarding the interest of the PSU.


Coal India has fixed the production target at 468.7 MT for 2012-13. It had achieved 435.84 million tonnes (MT) in 2011-12 against the targeted 447 MT.


The PSU firm had stated that it would have to increase production by 6.5% to meet the output target for FY13.


Its production grew by 3.5% in April over the same month last fiscal.


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