As per request received from consumers, linkage rationalization of eligible Independent Power Producers or IPPs has been done at Coal India Limited (CIL) for a total rationalized quantity of 2 Million Tonnes. The annual potential savings estimated by Central Electricity Authority for the above rationalization would be about Rs 118 crore. This information was given by the Minister of Parliamentary Affairs, Coal and Mines Pralhad Joshi in a written reply to a question in Rajya Sabha.
Ministry of Coal has issued the Policy for Linkage Rationalization for IPPs on 15.05.2018. The policy envisages to undertake a comprehensive review of existing sources of coal and consider the feasibility for rationalization of sources with a view to optimize the transportation cost and materialization taking into account coal availability and logistics.
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