Coal India eases mine-specific supply policy for small consumer

Coal India Ltd has relaxed the norms for “mine-specific coal supply” policy, which would easy availability of the dry fuel to consumers having less than one million tonne of requirement per annum. The move would benefit a large number of the minin major’s linked small consumers, the company said “The policy norms have been relaxed considerably to accommodate a greater number of consumers under the ambit of th policy. The minimum per annum requirement of the consumer ha been downsized to a quarter from 1 million tonne of coal t 0.25 million tonne,” a CIL official said.

The policy was conceived in 2011 to enable th consumer to benefit from assured supply from a preferred source, and gain from a reduction in logistics costs. However, the old policy was applicable to the consumer having a minimum requirement of one million tonne of coal pe annum. Further, the mine from which the coal was sourced ha to have a capacity of 2.5 million tonne per annum The relaxed norms brings down the eligibility fro 2.5 million tonne per annum production capacity to one millio tonne per annum.