In the ongoing fiscal the average realisation from electronic auction of coal has registered a decline.
Coal and Power Minister Piyush Goyal said in a written reply to the Rajya Sabha that during the current financial year, average realisation from e-auction of coal has dipped.
According to Goyal, compared to Rs 2,184 per tonne a year ago the figure for the first quarter of 2016-17 had come down to Rs 1,570.
The minister said that the bid prices are mainly determined by market forces, adding that the factors in question are the available quantity of coal and demand of fossil fuel in the economy.
To ensure transparency, earlier the Cabinet Committee on Economic Affairs had approved allocation of coal linkages for non-regulated sector only through the auction route.
The Standing Linkage Committee, prior to the Cabinet’s approval had been deciding on allocation of long-term and short-term linkages for sectors, including power and steel.
News Source: business-standard.com
Picture Source: google.co.in