Coal minister Sriprakash Jaiswal, on Tuesday ruled out scrapping e-auction of coal and said any step to curb it would only increase pithead stock.
"e-auction of coal started after the Supreme Court allowed it. There is already a huge stock of coal lying at pitheads which is creating a problem. If e-auction is stopped then another 10% stock will accumulate," Jaiswal said Monday night on the sidelines of celebrations of
CIL's Maharatna status.
Also read: Coal linkages awaited for 12th Plan power projectsAbout 70 million tonne of stock is lying at the pitheads due to shortage of rakes.
e-auction is a major revenue earner as on this platform coal is sold 80 to 90% higher than the administered prices.
"The number of rakes have improved recently, but it is not enough to clear stocks," Jaiswal said.
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