Power producers agree on a price pooling model; prices may rise further
KOLKATA: Power prices may rise further for both domestic and industrial consumers as generation firms have broadly agreed on a model for price pooling of coal. The pooling is being introduced to even out the impact of pricey imported coal on power generation that will be shared equally by all consumers.
“According to the model that has been readies and has received nod from power producers, coal will be imported by Coal India – about 70 million tonnes this year. Coastal thermal power plants will be using 30% of imported coal, while units within 300 km of coast line will use 15%. Rest of the thermal power generators will use 100% domestic coal that will be supplied by Coal India,” a senior executive from a large public sector power company told ET.