CIL's coal allocation to power sector under e-auction registers 15-fold rise in February

State-owned CIL's coal allocation under special-forwad e-auction for the power sector registered a 15-fold rise at 5.51 million tonnes (MT) in February 2020.

Coal India Ltd (CIL) had allocated 0.38 MT of coal in February 2019, according to the latest monthly summary by the coal ministry for the Cabinet.

The coal allocation by the PSU under the scheme increased marginally by 0.8 per cent to 26.23 MT in the April-February period of FY2019-20, over 26.02 MT in the corresponding period a year ago, it said.

Coal distribution through forward e-auction is aimed at providing access to coal for such consumers who wish to have an assured supply over a long period, say one year, through e-auction mode so as to plan their operation, the summary said.

The purpose of the scheme is to provide equal opportunities to all intending coal consumers to purchase coal for own consumption through single window services as per requirement and at a price determined by themselves through the process of online bidding.

Forward e-auction is aimed at facilitating all the consumers of coal across the country with wide ranging choice for booking coal online, enabling them to buy dry-fuel through a simple, transparent and consumer friendly system of marketing of fossil fuel. The maharatna firm is one of the major suppliers of coal to the power sector.

Coal India which accounts for over 80 per cent of domestic coal output is eyeing 710 million tonnes of coal output in 2020-21. The company has no plans to scale down its output target for the ongoing fiscal even though the country has more than enough stock of dry fuel amid subdued power demand due to coronavirus lockdown.