Power cos may buy coal from sources other than CIL: Govt

Power companies may secure coal from alternative sources in the absence of sufficient supply of the fuel from state-run Coal India, Parliament was informed today.

“As per the new coal distribution policy of Ministry of Coal, in order to meet the domestic requirement of coal, Coal India may have to import coal as may be required from time to time,” Power Minister Jyotiraditya Scindia said in a written reply in the Lok Sabha.

He added that developers may also obtain fuel from alternative sources in case of any shortage of assured supply of coal from Coal India.

Earlier this week Coal Ministry had said that Coal India had written letters to power companies seeking their consent for supply of imported coal on cost plus basis under the modified Fuel Supply Agreement (FSA).

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