Imported coal-based power plants in India might soon have the option of procuring domestic coal as the central government is mulling auctioning coal produced by Coal India Limited to such plants.
The decision has come after the new coal supply policy approved by the government allows substitution of imported with domestic coal by Thermal Power Plants in the country.
The imported coal based power stations will have to pass on the cost benefits to customers, and no hike in tariff could be claimed by them.
The Coal Ministry, in consultation with the Power Ministry, will make domestic coal available to the imported coal-based power plants taking care of the fact that such supply will not hamper the availability to the domestic coal based power plants in the country.
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