India: CIL rationalized Non-Coking Coal Price for all Subsidiary Companies

CIL rationalized Non-Coking Coal price and reviewed for all its subsidiary companies including North Eastern Coalfields (NEC) and the Non Linked Washery (NLW) Coal of Bharat Coking Coal Limited (BCCL) from 28 May, 2013.

The Surface Transportation Charges (STC) has also been revised from 14 Nov, 2013. The details of the price revision for Coal supply to the Power Utilities including Independent Power Plants (IPPs), Fertilizers and Defense Sectors applicable from 28 May, 2013 are as under:

• The price of the higher grades of non-coking Coal for Gross Calorific Value (GCV) band G1, G2 and G5 has been kept same for all the Subsidiary Companies including NEC, as was applicable under the price notification dated 31 Jan, 2012 applicable w.e.f. 01 Jan, 2012.
• The prices of the higher grades of non-coking Coal i.e. GCV band G3 and G4 reduced by 12 per cent in respect of all the Subsidiary Companies including NEC.
• The prices of the non-coking Coal i.e. GCV band G6 to G17 increased by 10 per cent.
•  A 10 per cent add-on for Western Coalfields Limited (WCL) over and above the prices applicable for other Subsidiary companies for both regulated and non-regulated sector for GCV Grades G6 to G17 (on account of higher cost of mining).
• An additional price of INR 300.00/MT extra over and above the notified price in respect of the Coal produced from Rajmahal mine of Eastern Coalfields Limited (in continuation with the earlier dispensation).
• 10 per cent increase in the price of NLW Coal of BCCL applicable for consumers in the regulated sector. The rebate of 5 per cent for supply to Power house other than captive ones as applicable at present is continued.
• The Surface Transport Charges where Coal is transported beyond a distance of 3 kms to the loading point, the Coal companies shall be entitled to charge additional transport costs from the purchasers for a distance of more than 3 kms but not more than 10 kms, INR 57.00/MT, for a distance of more than 10 kms but not more than 20 kms, INR 116.00/MT. In cases, where Coal is transported for more than 20 kms to the loading point, transport charges shall be payable on actual basis, to be borne by the purchaser. It was last revised in 2009.

“At present, the impact of Coal price revision applicable w.e.f. 28 May, 2013 on power generation works out to around 4 paisa per unit. The impact due to STC revision works out to around 1 paisa per unit.”-Minister of State for Coal, Shri Pratik Prakash Bapu Patil has said on  Monday in Rajya Sabha

Source: PIB