CIL extends deadline under MoU-based coal supply to March

Feb 15, 2013 |

New Delhi

Coal India (CIL) has again extended the deadline for supply of coal to power producers under the MoU route till March-end, even as companies, including NTPC, are yet to enter into FSAs with the coal PSU.

The matter had also come up for discussion during Coal India’s board meeting on Wednesday, sources said. “During the meeting a call was taken to extend the deadline to March-end,” a government official said.

The last deadline set by CIL for MoU-based coal supply to power producers expired on January 31. Coal will be supplied under the MoU route to all those power plants, which have been commissioned as on April 1, 2009 up till now, sources in Coal India said.

The government had in May directed coal companies to supply the fuel to power plants that have been commissioned till 2012 through the MoU route till FSA issues are resolved.

“The ministry of coal has issued a directive to coal companies to supply coal to power plants commissioned till March 31, 2012 as well as those to be commissioned during 2012-13 through the MoU route as the FSAs are getting delayed,” the power ministry had said.

“With this directive, the commissioned plants would be able to generate power without facing disruption of coal supply,” it had said. The power producers, including NTPC, is yet to sign fuel supply pacts with CIL even as the second deadline set by the Prime Minister’s office's (PMO) for the signing of FSAs expired last month.

According to Coal India, so far 55 FSAs had been signed.

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