Consumers also suffer from ‘Western Coal Field’
MUMBAI: Central government company Western Coalfields Limited (WCL), which sells coal to Mahanirmithi for power projects in the state, is selling coal to Mahanirmithi at 20 per cent higher rate than other central companies. Energy Minister Nitin Raut has decided to raise the issue in the state cabinet meeting as it is not only detrimental to the financial health of the corporation but also increases the electricity tariff and burdens crores of consumers in the state.
Last year, Raut had directed three companies – Mahanirmithi, MahaTransport and Mahavitaran – to save money by controlling electricity tariffs in the state. According to Raut, while reviewing the revenue and expenditure of power companies, it was revealed that the rate of Western Coal Field Company while selling coal for power projects was 20 per cent higher than other central government companies. Coal prices account for 70 to 80 percent of the cost of electricity generation. In addition, 70 per cent of the total coal procurement is from Western Coalfields, the huge loss of 20 per cent is being borne by the Corporation and hence the power consumers.
Coal is extracted from the Chandrapur mine by the Central Government’s Western Coal Field Limited (WCL). Coal is extracted in other parts of the country by Mahanadi Coal Limited (MCL) and South Eastern Coal Limited (SECL). Mahanadi and South Eastern Coal Fields, which supply coal from outside the state, sold coal to Mahanirmithi at Rs 827 to Rs 1,150 per tonne, depending on the quality of the coal. It is learned that Western Coal Field, which handles coal of the same grade from Maharashtra, sold it to Mahanirmithi for Rs 990 to Rs 1378 per tonne, which is 20 per cent higher. Apart from this, it was also told in the meeting that coal is not being supplied under the agreement. Mahanimit procures 70% of the coal required for power generation from the Western Coal Fields.
Western Coal Field Company mines coal using state electricity, land, water and manpower. But giving coal is harming the state. It is supplying coal at the rate of 20 percent more than others. So I will raise this issue in the cabinet. Nitin Raut, Energy Minister
First published on July 26, 2021 at 1:16 am
web title: Central government coal company akp 94 . exorbitant charges from to Maharashtra
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