Coal news and updates

Taking ahead the process of coal linkages auction, state¬owned CIL will organise interactive sessions with stakeholders across the country to explain the different features of the on¬line bidding process. 

 

"Coal India Ltd (CIL) would be organising interactive sessions with stakeholers at multiple locations across the country to explain different features of the auction process," a Coal India official said. The official further said that there has been a long standing demand of developing an institutional mechanism for regular procurement of coal by end consumers from non¬regulated sectors to the extent of their normative requirements, the official said. "To fulfil the requirement, Ministry of Coal has come out with policy guidelines for allocation of coal linkages through auction, a transparent online bidding mechanism. The mechanism would enable consumers in meeting their coal requirement on long¬term basis," the official added. 

 

In a bid to ensure coal supplies and a level playing field to non¬regulated sectors such as steel and cement, the government had earlier said that coal linkages will be provided to them only through auctions. Government is planning to auction coal linkages of around 24 million tonnes in the first year. The government had earlier said that initial floor price will at the relevant CIL ROM price and bidders will bid for premium above this price for the relevant grade and for a particular link quantity. The coal delivered from the mine that reports to the coal preparation plant is called Run of Mine (ROM).

Source: EconomicTimes