Friday, July 11, 2025
  • Home
  • About us
  • Privacy policy
  • Advertise with us
  • Contact us
Fii News Logo
No Result
View All Result
  • Tenders
  • Projects
  • Markets
  • Manufacturing
  • Investment
  • Technology
  • Exports
Newsletter
  • Tenders
  • Projects
  • Markets
  • Manufacturing
  • Investment
  • Technology
  • Exports
Fiinews
No Result
View All Result
Home Banking & Finance

IPP coal rationalization plan approved

Fiinews by Fiinews
May 16, 2018
in Banking & Finance, Contract, Economy, Investment, Power, Projects
Reading Time: 2 mins read
A A
0
0
SHARES
10
VIEWS
LinkedinShare on Twitter

0:00

Task force works on coal cost control

A task force has worked out mechanism to reduce landed price of coal, leading to savings in cost of power generated and reduce transportation cost.

The Inter-Ministerial Task Force (IMTF) said savings achieved due to reduction in the landed price of coal will be passed on to the Discom/consumers of power.

This will also help in reducing the load on the transportation infrastructure.

IMTF under took a comprehensive review of existing coal sources of Independent Power Producers (IPPs) having linkages and consider the feasibility for rationalization of these sources with a view to optimize transportation cost, given the various technical constraints, according to a Coal Ministry release on 16 May 2018.

The recommendations have been approved.

Point-wise details :

1. Coal linkage rationalization shall be an exercise in which the coal linkage of a Thermal Power Plant (TPP) of an Independent Power Producer (IPP) may be transferred from one Coal Company to another based on the availability during the fiscal and future coal production plan of the coal company.

2. The underlying objective behind the exercise shall be to reduce the landed cost of coal due to reduction in transportation cost. The savings achieved due to this reduction of landed price of coal are required to be passed on to the Discom/consumer of power.

3. This exercise shall be voluntary on the part of the TPPs. The exercise aims to reduce the distance by which coal travels, thus, easing up the Railway infrastructure for gainful utilization for other sectors.

4. The one time process of calling for the requests of the IPP for linkage rationalization shall be undertaken jointly by CIL, SCCL and CEA in a transparent manner.

5. This linkage rationalization shall be considered only for IPPs having linkages through allotment route. The IPPs shall also be stating the Minimum Order Quantity (MOQ) for which the linkage rationalization shall be requested and their preferred mode of transportation after the linkage rationalization.

6. The Fuel Supply Agreement (FSA) of the rationalized source from any coal company would be signed/implemented only after the appropriate Electricity Regulatory Commission approves the supplementary agreement.

7. Any dispute as and when it arises would be resolved as per the provision of the Arbitration and Conciliation Act.

Implementation strategy and targets:

The proposed rationalization of linkages is transparent, objective and creates a level playing field for IPPs in each domain.

It attempts to make optimal rationalization of the vital natural resources across the power units of IPPs, said the release. /fii-news.com

Tags: Ministry of Coal
ShareTweetShare

Related Posts

PIB
Projects

Project: Japanese delegation inspects DMIC progress

by Fiinews
July 11, 2025
0
12

Amb Ono appreciates India’s vision for semiconductors The Delhi-Mumbai Industrial Corridor (DMIC), inspired by Japan’s Tokyo–Osaka corridor, continues to benefit...

PIB
Projects

Project: Mindset change is critical for innovation

by Fiinews
July 11, 2025
0
13

Resident Indian patent filings surged by 56% Minister of State for Science & Technology Dr Jitendra Singh says a change...

Gidco Re Tender Notice

Project: 4,000% in installed solar capacity

July 11, 2025
13
PIB

Project: EV policies part of climate goals

July 11, 2025
11
Delivery Of Nistar To Indian Navy

Project: Nistar delivered to Indian navy

July 11, 2025
17
IVCA

Invest: India requires $150-$200bn for renewables

July 10, 2025
25
SBI YONO

POPULAR NEWS

  • Cristina Dnv

    Projects: Indian yards set to build green ships, says DNV expert

    0 shares
    Share 0 Tweet 0
  • Market: Indian-origin UGF scales heritage consumer brands globally

    0 shares
    Share 0 Tweet 0
  • Technologies: Royal Diamond sponsors aerspace Industries’ drones in UAE

    0 shares
    Share 0 Tweet 0
  • Investments: Foreign investors see India as long-term destination for fund placings

    0 shares
    Share 0 Tweet 0
  • Markets: Blue Dart maintains positive outlook on India

    0 shares
    Share 0 Tweet 0

Fiinews.com features through news articles on business opportunities in the Indian market for the benefits of foreigners. It is also a platform for international businesses to showcase through elaborate articles on their products & services to the Indian consumers and corporations exploiting industrialisation of the country.

7Clicks Media is a Singapore based Media & PR company offering over 100,000
impressions via our targeted communication strategy.

It is led by editor-in-chief Gurdip Singh who has worked over 45 years reporting on
Asian businesses.

Recent News

  • Project: Japanese delegation inspects DMIC progress
  • Project: Mindset change is critical for innovation
  • Project: 4,000% in installed solar capacity
  • Project: EV policies part of climate goals
  • Tech: ansrsource-ANSR reshape talent across India

Pages

  • About US
  • ADVERTISE ON FIINEWS.COM
  • CONTACT US
  • EVENTS
  • FII-NEWS.COM PDF ARCHIVE
  • Home
  • News
  • PRIVACY POLICY

Subscribe to Newsletter

  • About
  • Advertise
  • Careers
  • Contact us

© 2024 FIINEWS - Design and developed by 7clicksmedia.

No Result
View All Result
  • Tenders
  • Projects
  • Markets
  • Manufacturing
  • Investment
  • Technology
  • Exports

© 2024 FIINEWS - Design and developed by 7clicksmedia.