Coal India Ltd lines up 55 MT coal to get the best out of auctions
Coal India Ltd is betting big on coal auctions, while it looks to sell about 55 million tonnes (mt) of the dry fuel through this route in the current fiscal year.
For the state-run miner, auctions fetch the highest price among all sales channels and account for a sizeable chunk of profit. With coal stocks at power plants reaching 26 mt, the highest in several years, CIL can now offer coal to anyone through e-auction until last month, the company was to first offer coal to electricity utilities. The coal ministry has now allowed it to offer it to everyone, including power producers.
In the just-ended fiscal year, CIL sold around 46 mt through e-auction, which was lower than the 58 mt it sold in fiscal 2013-14, a senior official said. “Although in percentage, this (sale through auction) wou ..