Coal news and updates

The power-starved Karnataka, which will get additional 2,300 MW from three of its new thermal power units soon, is set to get coal at reduced rates for the new initiatives.

The Singareni Collieries Company Ltd. (SCCL), which will supply coal to the three new units, on Thursday announced that it would offer it at a reduced rate, which would result in savings to the tune of around Rs. 450 crore a year for the State.

“Karnataka has been one of our prominent customers. Hence, we have decided to rationalise the coal price for the State for its new thermal units,” said N. Sridhar, SCCL chairman and managing director. The firm signed a pact with the State on Thursday for the supply of 70 lakh metric tonnes of coal per year to Yermarus Thermal Power Station near Raichur and Bellary Thermal Power Station. “We have decided to reduce the price by about Rs. 600 a tonne,” Mr. Sridhar told The Hindu .

Hailing SCCL’s gesture, Energy Minister D.K. Shivakumar said the reduction in coal price would benefit consumers. Stating that Karnataka was set to get an additional 5,000 MW of power by the time the Siddaramaiah-led Congress government completes its five-year tenure, he described it as a record of sorts. Chief Minister Siddaramaiah, Additional Chief Secretary to Energy Department P. Ravikumar and KPCL Managing Director Kumar Naik were also present.

Source: The Hindu