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Coal India signs 160 fuel supply agreements with power plants

09 Apr 2014

Amid continuous delays, state- owned Coal IndiaBSE 0.97 % (CIL) has so far signed 160 fuel supply pacts with power units. 
 
The Cabinet Committee on Investment ( CCI) had earlier stated that the timelines for signing of fuel supply pacts for power projects of 78,000 MW capacity should be met. 
 
"As of now Coal India has signed 160 fuel supply agreements (FSAs). There are still some more to be signed," a Coal India official said. 
 
The official added that CILBSE 0.97 % has to sign 172 FSAs for a capacity of 78,000 MW. 
 
Power projects with 78,000 MW capacity have been approved for coal supplies by the Cabinet Committee on Economic Affairs (CCEA). For these projects FSAs would be signed for 172 units covering 134 Letter of Assurances (LoAs). 
 
"(Overall) 177 LoAs (Letter of Assurances) were issued by CIL and its subsidiaries for power projects to be commissioned during the 11th and the 12th Five year Plan. These LoAs cover a capacity of about 1,08,000 MW," according to a Coal Ministry document. 
 
Two deadlines set for the signing of FSAs by CIL with the power producers could not be adhered to. The Coal Ministry had set the deadline of August 31, 2013 for signing of the FSAs, which could not be met. The second deadline was set for September, last year. 
 
 
Source: PTI