The Power Ministry wants Coal India to import coal only for the public sector power generation companies such as NTPC and state utilities.
The ministry, in consultation with the Central Electricity Authority (CEA) has prepared a list of power plants for which Coal India Ltd (CIL) should import fuel during the current and the next financial year.
"Only state utilities and public sector generating companies find place in the list," a Power Ministry official said.
He said earlier the list included one thermal power project in the private sector.
"Now even that has been replaced by NTPC," he said.
Earlier this month, CIL board agreed to supply a minimum of 80% of the contracted quantity of the fuel to power firms, meeting 15% requirement through imports.
This decision followed a direction from the PMO (Prime Minister's Office) to CIL to sign the pacts with power firms for supply of 65-80% of the contracted quantity, amid delays in signing of the agreements.
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The Planning Commission and the Power Ministry had suggested pooling of the prices of imported and domestic coal to neutralise the impact of higher prices of imported coal.
Coal India also agreed to pay a penalty between 1.5% and 40% if it fails to supply the committed quantity of the fuel to power firms.
The fine can go up to 40% if CIL supply falls below 50% of the contracted quantity.
Coal India has set a production target of 464 million tonne for the current financial year.
The company had achieved 435.84 million tonne in 2011-12 against the targeted 447 million tonne.