Power Min looking into issues raised by pvt power producers

Power Minister Jyotiraditya Scindia is discussing within the Ministry the recent proposals submitted by the private power producers to address fuel supply issues as well as to revive the crisis-hit sector. The Association of Power Producers (APP) on December 20 had submitted a slew of proposals, including pass through of imported coal prices into tariffs and ensuring 100 per cent fuel supplies from Coal India , to the Power Minister.

The Minister has sought views from officials within the Ministry on the revival plans given by the APP, amid sluggishness in the sector, according to a source. One of the suggestions is to ensure that Coal India supplies 100 per cent fuel supplies for power plant once price pooling is in place. Besides fuel issues, the private power generators have suggested that imported coal and liquefied natural gas (LNG) should be made part of the country's energy mix.

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Scindia met with members of the Association of Power Producers (APP) -- a grouping of 27 power companies -- on December 20. "We will be able to resolve the issues and make sure that between the Coal Ministry, Power Ministry and all other stakeholders in both these sectors, we will come out with a framework that is fair and equitable for all concerned," Scindia had said after the meeting.

Amid coal shortages hurting the power sector, the government last week had said that most issues related to Fuel Supply Agreements (FSAs) have been resolved. The announcement had come after a long meeting between Scindia and Coal Minister Sriprakash Jaiswal. Private power companies have raised concerns over certain FSA clauses, which they claim are in favour of PSUs.Meanwhile, a joint policy on pooling of coal prices is expected to be prepared soon by Power and Coal Ministries. Pooling is a mechanism where by coal price is discovered after sharing of domestic and international prices.

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