PSUs and private sector cos can swap coal, says Goyal

The Centre  has approved the coal swapping between the governments, PSUs with the private companies.

While addressing the launch programme of   web portal ‘Coal Mitra’, the Minister of State (IC) for Power, Coal, New & Renewable Energy and Mines, Piyush Goyal said that, “I would like to see the Coal sector open up and achieve the next level of Efficiency in power generation. For this the Ministry is working tirelessly and guidelines for coal swapping would be out in next 30 days.” He envisioned this coal swapping initiative to be cross sectoral and not confined to the power to power sector swaps.

The Coal Mitra Web Portal has been designed to bring about flexibility in Utilization of Domestic Coal by transferring the reserves to more cost efficient state or centre owned or private sector generating stations, leading to lower generation costs and ultimately lesser cost of electricity for the consumers.

The Cabinet, on 4th May 2016, approved the proposal for allowing flexibility in utilization of domestic coal amongst power generating stations. Further, Central Electricity Authority (CEA) has issued the methodology for this on 8th June 2016, followed by the issuance of a memorandum by the Ministry of Power on 10th June 2016. 

The methodology for use of transferred coal in Independent Power Producers (IPPs) generating stations would be issued separately. During the event,  Goyal also released 3 reports viz., ‘Renewable Energy Integration: Transmission, an Enabler’, ‘Green Energy Corridors - II’ and ‘Electricity Demand Pattern Analysis’. 

The first two reports, prepared by PGCIL, cover aspects of comprehensive transmission plan to integrate renewable energy sources into the National Grid and role of Transmission as an Enabler in growing Renewable Energy (RE) penetration scenario. The last report has been prepared by Power System Operation Corporation Limited (POSOCO).

PK Pujari, Secretary Power, SD Dubey, Chairman, CEA, IS Jha, CMD, PGCIL, along with senior officials of the Power Ministry, and Heads of State Utilities and officials from International Financing Agencies were also present at  the event.