State-owned largest Coal producer Coal India (CIL) has increased the price of a certain Coal grade produced from its own subsidiary mines located in Godda district of Jharkhand.
The price hike has been effective from 01 Apr, 2014 as per the decision taken by the Coal India board.
CIL has also decided to hike price of Coal grades produced from Rajmahal mine of ECL (Eastern Coalfields Ltd) in its 306th board meeting which was held on 20 Mar, 2014. Coal prices will improves from existing price of INR 300/MT to INR 390/MT.
[su_quote]“CIL ordered to rationalize the Coal price produced from Rajmahal mine of ECL. The company decided to hike prices due to reclassification of Grades and price adjustment,” according to a CIL’s official.[/su_quote]
CIL had raised price of Non-coking Coal by 10% in Dec’13 produced by its own subsidiary Western Coalfields.
[su_quote]”During the last rationalization in Feb’ 11, there was a substantial price cut, which had shown direct impact on revenue. So, now we have increased it by 10% on WCL (Western Coalfields),” Coal India CMD S Narsing Rao had said earlier.[/su_quote]
On account of price hike, Western Coalfields will earn additional revenue of INR 1.4 billion for FY14.
CIL may get additional revenue of INR 21.2 billion in FY14 on account of revision in dry fuel prices, written reply of Coal Minister Pratik Prakashbapu Patil to Lok Sabha in Dec’13.
CIL had revised the prices of Coal grades for its all eight Subsidiaries from May’13, except three Coal grades.
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