The Centre is toying with the idea of involving states in the process of offering coal linkages to the power sector.
Coal Secretary Anil Swarup today said the Centre was thinking of allotting blocks to the states, which in turn will carry out tariff based auctions.
"Offering blocks for commercial mining will be different from blocks we may offer to states for the regulated sector.
"In case of blocks for the power sector, tariff based bidding will be made mandatory for states," Swarup told PTI.
"This may bring dual advantage -- encouraging states to sign PPAs for power projects and it may help in doing away with the reverse auction by the Centre," he said.
A coking coal policy is also under consideration, but Swarup declined to provide details.
