Lackluster Participation in Last Coal Linkage Auction: Sources

The last coal linkage auction had failed to elicit active response, CoalMint has learnt from sources.

Singareni Collieries Company Limited (SCCL) managed to sale 33.8% of its offered quantity for Captive Power Plants (CPP) and 26.5% of its offered quantity for the cement producers.
SCCL had offered 2.40 MnT for CPPs and 3.03 MnT for the cement sector.

Availability of cheaper alternate fuels, like Petcoke and steam coal, was cited as the underlying reason for the poor response to the auction.

However, coal linkage auction by Coal India Limited for the CPPs fetched a healthy response, with 95% of the offered quantity being booked; while, cement producers booked only 32.5% of the offered quantity.