Coal India is fuming at the Planning Commission's move of curbing down the amount of coal offered for e-auctioning. In an interview to CNBC-TV18, NC Jha, Chairman of the company said that e-auctions of coal should continue. He informed that e-auction has approval of the Supreme Court.
Jha stressed that the PSU will continue its 10% e-auction unless there is a new directive. He explained that 81% premium in e-auction comes over fuel supply agreements (FSA) and it will facilitate clearance of huge inventories. He added that any change in the e-auction policy will call for changes in the new coal distribution policy. Earlier, the Planning Commission had said that 10% of coal, which is e-auctioned by Coal India, should be cut down. The commission feels that CIL should adopt pool pricing for thermal coal and should also plan for import of coal. For more details: Power cos seek diversion of coal e-auction: Sources According to a Citi report, e-auction accounts for 11-12% of CILDiscover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
