Coal news and updates

CIL’s realisation down 2% post-third-party sampling

December 1: Coal India Ltd’s realisation has fallen by about 2% following the introduction of third-party sampling for power sector consumers around a year back, an official said.

“Yes, things have changed a bit. For example, our realisation used to be 94% of the supplies before joint sampling was started. However, realisation at present is 92% of the supplies. So there is slippage in realisations by about 2-2.5%. Basis this, it can be said that slippage in realisations is to the extent of 2-2.5% after the joint sampling mechanism was introduced,” CIL’s Director (Marketing) B K Saxena told ICMW.

Saxena, however, said: “Even though there is marginal slippage in realisations, the entire system has brought in or increased the confidence of consumers, which is more important for us.”

Asked how much this decline in realisation would impact CIL’s total sales, the director (marketing) said, “I would not say total sales have declined by 2-2.5%, but yes realisations were affected to that extent, but we will have to check the figures and compare with that of last year’s and the impact has to be seen.”

Commenting on the progress of third-party sampling, Saxena said, “It is going on smoothly and there is no problem whatsoever as there had been no disruption because of that. So far as complaints are concerned, we do get some complaints from power producers and because of that we have asked them to engage third party agencies for sampling.”