Mahanadi Coalfields Ltd (MCL), the coal company operating in Odisha, has made provision for extra coal supplies to the public sector power utilities, as per the directives received from CIL board.
The company has proposed coal on ‘As is Where is Basis’ to the central/state power companies which are having a valid Fuel Supply Agreement (FSA) for the FY20, with the stipulation that the utilities would have to make their own arrangement for evacuating coal from the pit-head mines.
The lifting of coal would be a one-time offer which can only be availed through road/rail mode of transportation from the following sources:
• 0.5 MnT of G14 grade supplied from Lakhanpur OCP
• 1 MnT of G13 grade supplied from Hingula OCP
MCL has specified that the supply of coal under this scheme would be an integral part of quantity supplied to the existing as well as the new FSA holders. Besides, the prevailing practice would follow all the terms and conditions applied in model FSA scheme, including the price structure plus incentives.
The interested customers have been asked to submit their consent and deposit coal value within 15 Mar’20.
SECL’s Bulk Offer for Power Producers:
Apart from MCL, CIL’s other major entity-SECL had also taken effective measure to raise coal supplies for the power sector. The company had floated 5.7 MnT coal in the special forward e-auction which is earmarked specially for the power producers.
The auction held today has 3 months validity period of lifting starting from Feb’20 against the successful quantity.
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