MINISTER OF THE STATE IN THE MINISTRY OF COAL (SHRI PRATIK PRAKASHBAPU PATIL)
(a) Coal is supplied by Coal India Limited (CIL) to Ukai Therrmal Power Station (TPS) as per
the Fuel Supply Agreement (FSA) executed between Gujarat State Electricity Corporation Limited
(GSECL) and subsidiary coal companies of CIL for an Annual Contracted Quantity (ACQ) of 4.17
Million Tonnes(MT) as allocated by Central Electricity Authority (CEA). Out of this, 0.93
million tonnes is supplied from Western Coalfields Limited (WCL) and 3.24 million tonnes
from South Eastern Coalfields Limited (SECL). For Unit-6 of Ukai TPS which has been allocated
Mahanadi Machakata coal block, a Letter of Assurance (LoA) has been issued from SECL on
tapering linkage basis for the coal quantity of 2.081 MTPA.
(b)to(d) The request of Gujarat for enhancement of allocation of coal from Western Coalfields
Limited (WCL) was examined by the Task Force constituted by Ministry of Coal for rationalization
of sources for existing coal consumers. The Task Force recommended for reduction in quantity
allocated to Gujarat State Electricity Corporation Limited (GSECL) from Korea Rewa fields of
C/D grade coal and proportionate increase from Korba fields of South Eastern Coalfields Limited
(SECL) by swapping quantities of Madhya Pradesh Power Generating Company Limited (MPPGCL).
The rationalization of sources recommended by the Task Force between different consumers was
inter linked. The recommendations could not be implemented as all the consumers concerned did
not agree to the revised arrangement.
While the demand for coal is spread across the length and breadth of the country, availability
of coal is confined to only 8 States. Long term linkages had already been committed to various
power plants in the country from CIL sources including WCL. Linkages granted subsequently would
only be from possible sources and therefore, long distance haul cannot be avoided altogether.
The decision of source of allocation of coal is taken on the basis of long-term availability of
coal in the source, potential for incremental production, transport logistics available etc. The
major coal reserves of Coal India Limited (CIL) are concentrated in the coalfields of Karanpura
(Northern India), Ib, Raigarh (East Central India), Korba (Central India) and Talcher (Eastern
India) and these are considered as upcoming coalfields. Therefore, power stations in Gujarat are
predominantly supplied coal from coal fields of South Eastern Coalfields Limited (SECL) located
in the State of Chhattisgarh. Growth prospect in coal production in Western Coalfields Limited
(Western India) is low and the coal available at Western Coalfields Limited is already linked to
various power stations and other industries. Hence, further coal allocation has to be sourced
from other coalfields.
