Govt amends coal use norms for IPPs

The Ministry of Power on Friday said that it has amended the methodology for use of coal (allocated to States) by private power generating units (IPPs) in the backdrop of rising power demand.

“In line with various measures being taken in view of increasing power demand, Power Ministry has amended the methodology for use of coal (allocated to States) by Private Power generating stations (IPPs). Larger visibility has been given to the power plants by extending the period of supply of coal from 1 year to 3 years, ”Power Ministry said in a statement.

The Ministry also made amendments in the timeline of bidding process which has been reduced from 67 days to 37 days, it stated.

The measures have been taken to ensure more efficient utilization of domestic coal, it added.

The Government has taken these measures in order to optimally utilize the railway infrastructure for maximum transportation of coal to the power plants, it explained.

The ministry said that this would enable States to optimally utilize their linkage coal in the plants closer to the mines as it would be easier to transmit electricity instead of coal transport to far off States.

Published on

April 22, 2022

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