Published On : Wed, May 25th, 2016

Coal supply to non power consumers through NCDP

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Nagpur: On increased availability, Western Coalfields Limited (WCL) is giving domestic coal on “as is where is” basis by road mode to the non power consumers coming through the LOA (Letter of Assurance) route against 50% of their import component. Apart from “as is where is” basis by road, as an additional facility, WCL shall also be releasing coal against import component from other surplus sources including rail mode for a period of three months or any direction from CIL in this regard.

WCL had executed Fuel Supply Agreements with non-power consumers having linkage prior to NCDP (New Coal Distribution Policy) and new consumers coming up after completion of milestones under the Letter of Assurance (LoA) route. All pre NCDP linked consumers are entitled to get 100% of their Annual Contracted Quantity.

However, due to negative coal balance scenario, the non power (FSA) consumers coming through the LoA route were offered only 50% of their Annual Contracted Quantity from domestic sources and the balance 50 % of their Annual Contracted Quantity was to be supplied through imported coal as and when intimated by Coal India Limited. The above is likely to increase consumer satisfaction of non-power consumers coming through the LoA route.